The guys over at avsforum who really know their stuff have all said that PS3 is currently tied for the best overall quality during Blu-ray playback. The PS3 is actually more responsive then most other players. It has quicker load times, ability to update via firmware, has all the sound formats, and it also happens to have really good dvd upscaling.
In fact, not to toot my own horn (or yours) but well mastered dvds look as good on my plasma as the average Blu-ray. Let me explain... Right now the benchark reference Blu-ray disk is Ultraviolet. Ultraviolet has a 3-d image that not one second during the complete film you think your watching nothing but mind boggling high def. Then you got your next tier of about 50 or so movies that are still somewhat 3-d and pristine. On my Pioneer 42" plasma, when I select DVD upscaling to normal, most all of the newer movies like Spiderman 3, Die Hard 4, etc look like they belong in this tier. Not a spec of grain or imperfections in the picture. It's flatout amazing I tell ya.
I'm sure Blu-ray will become ever better overtime as they master the compression, and free up space for better encoding procedures and what not. Until then, the PS3 will play all your Blu-ray collection the best it possibly can (as well as dvds). So, it's a no-brainer purchase IMO.
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