We had this same issue with a Onkyo HTIB, the other day, so I thought it was the same post.
We get this continuously.
Just because a manufacturer says it is HDCP compliant does not mean it is.
The Codes from
Digital Content Protection LLC are complex and vague, with endless addenda, that manufacturers are left to figure for themselves. So foul ups especially with repeater architecture are common.
Problems with cable boxes are endless, and many do not have the speaker architecture done correctly.
However you say your DVD does not work, which leads me to suspect that the repeater architecture of you Onkyo is not correct. I have to assume you have your unit programmed correctly. It won't hurt to double and triple check everything.
Onkyo probably won't care less. The fickle thing about it all, is that the unit might work well with different brands of cable and DVD units.
HDMI is raw deal that is for the benefit of studios and not the consumer.
It is a raw deal in many fronts, as especially at the lower end of the food chain it often does not work. It is also leads to such complex set up issues, that users often make a mistake.
We had an experienced user make a mistake recently. So you have a lot of misery to keep you company.
The real villains are the outfit I linked.