I read that the Oppo can convert regular DVDs to Blue Ray quality, is this so?
I don't own an Oppo but I doubt any player can convert DVDs to BR quality. My players can play some DVDs to near BR quality but I am talking about seleced DVDs and selected BRs. The average BR quality BRs will always look much better than the average DVDs.
Is this Anchor Bay a real advantage?
Not always, it depends on how it is implemented, the ABT chip itself cannot guarantee the "real advantage" that you may be referring to. My own experience is that the quality of the transfer (DVDs) itself has much more impact on PQ than the upscaling circuitry of the individual players. I did notice at least two exceptions though, the Sony S350 seemed slightly worse and the Toshiba XDE500 (I can imagine people laugh at this but I am reported my own experience) seemed slightly better in general. Otherwise in real world applications I believe there are little noticeable difference. In synthetic tests, the Oppo is probably unbeatable.
I'll just be using it for DVDs, no CDs; internet, or other formats. I just want the best PICTURE and SOUND for movies.
So you will not be taking full advantage of the Oppo that is an universal player. Is speed and quietness important to you? The Oppo is reportedly fast, not top, but probably near top performer in this department. It is also reportedly quiet.
There are players as quiet as the Oppo but not as fast, and there are players that are as fast or even faster but probably not as quiet. You told us the features that are important to you but depending on what features (example: how about speed?) are not important to you, there may be players that can satisfy your needs for much less money than the Oppo 83.