Well, I plan to have all the sources built into the HTPC in a sense. I will have the HTPC video connected directly to the TV and have an optical cable running to the reciever for sound.
I am going to have a video movie bank on the hard drive with about 400+ movies. HD-DVD and Blu-Ray is not a priority of mine at the moment so I'm not worried about it. I will also have a DVB card for satellite that supports upscaling to 1080i I believe. The HTPC DVD drive will be used for DVD movies. Are there any other input devices I'm not thinking of? We might eventually have a console game system of some sort that will need to be connected directly to the reciever I believe.
I have no problem forking out the $$ for the Onkyo 905 if its worth it to run all video through that then output from there to the tv. Just not sure if the PC could do this just the same so I could maybe save some money. Havn't heard too much about the 905's performance since all of the info I have read seems to be what it "should" do with the new Reon-VX chip and not what actual experience has been...
P.S. WAF, lmao...I might be in trouble then since this is going to be a family unit for about 7 people. Myself, girlfriend, brothers and sisters, and of course my parents. Its going in a vacation home so I need something that is user friendly.
BTW, I am also a CS major at UCSD, what sort of code do you work with??