There is no reason why they both can't survive. We've seen it with SBM vs. HDCD vs. XRCD vs. MoFi gold CD's. Each have their strengths. My only problem is the mutually exclusive formats. They really should figure out a way to incorporate DSD (not SACD, but the underlying digital representation) into DVD-Audio, then have the player be able to play both. The cheaper ones will probably use PCM DAC's, and convert the DSD to the equivalent PCM, the higher end ones will have separate DAC's and figure out which one to use, and the highest end ones might even have separate outs.
SACD vs DVD audio vs 24/96..??
Now that there is SACD player #3 (Marantz SA CD-1 for a mere $7500) with a whopping 24 titles to choose from in SA-CD format, and 24/96 & DVD just coming in to age. What format will survive? Will they RIP like the Sony Beta video, or DAT formats and the MD formats? Will the audiophile of today have the saying "Long live the 44khz 16 bit format", as we said 15 years ago "Long live analog"?