Curt,
It seems there are no final words from either the Blu-Ray camp or the HD/DVD camp about what formats the players will actually output. What is certain, at least with Blu-Ray, is that 1080p content will be supported natively on the disc.
I have a feeling that the players will be similar to today's players in that they can scale the output to multiple formats and the discs can be encoded in different formats. 24p, 30i, 60i may all exist. 1080p/i, 720p, 480p/i may all be supported by the player. So I would expect we will see players that allow you to specify an output resolution where your player reads what is on a disc, then converts it to a fixed output, like 720p, or you can tell it to pass through the native resolution that is stored on the disc.
I have confirmed that 1080p will be a supported encoding rate though and that the Blu-Ray players will capable of outputting it. But, the manufacturers may not actually make one that outputs 1080p right away. My guess is that they will hold some features back for at least a year or two so they can upgrade into newer stuff and work bugs out on assembly lines.
There is also a question of output connections that will be on the players. Component? DVI? HDMI? There really isn't anything that I have read that provides this info.
Anyone else have some more info?