No, upscaling does make for a better picture on an HDTV. But it would cost you less to buy a $60 upscaling Oppo DVD player + Playstation than it will to buy an Oppo BluRay player that also upscales regular DVDs.
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'He who receives an idea from me, receives instruction himself without lessening mine; as he who lights his taper at mine, receives light without darkening me.'
-TJ
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