Had a HD-A1 for some time now and have to say, it rocks

DD+ audio with high def video.HD-DVD's are encoded in VC-1 and BR-DVD's are encoded in MPEG2.So far the Blu-Ray movies have been pretty much savaged by early adopter and review sites, they seem to still be suffering from compression artifacts as well as poor transfers from the Master copys of some films.
Here are a few review sites (they do both formats):
http://www.highdefdigest.com/ http://www.dvdtalk.com/reviews/index.php
I don't think to many in Hong Kong like the brand name Toshiba, at least thats the impression i get so i think Sony will do alot better here.