Blu Ray from the HTPC

You can compress the movie down to 700MB if you like. The quality isn't quite as good as DVD.But it is as good as Netflix instant downloads. Take it up to 1.2 gb or so and add dlby digital or DTS to the mix. Here's one converter mydvdtools. I use ConverterXtoDVD to convert them back to DVD.

From time to time I'll burn them back to hard disk and put 5 movies on one DVD 4.3 Gb disk.

You can get a heap of movies on HD if you convert and compress them a little. It is very easy to get 400 movies on a 500Gb HD doing it this way. I have so many movies on HD I have a hard time finding a particular one I want to watch sometimes! lol
I will certainly let you know how it goes.

Yeah.. she's just a backup singer at the moment for a friend of mine that is the lead singer of a band, that just completed some tracks on Shania Twain's new album that is in the works. Infact they were just in the studios a week or so ago.

I have been thinking about getting a HTPC with Blu-ray, but it's not clear to me how HTPC handles new audio format.

How do you decode and output TrueHD or new DTS-HD format on a HTPC to a receiver? Is it converted to Multi-ch PCM?

With the newer cards being released, You'll get all of the newest codecs by just plugging up an HDMI cable and using it with a processor or receiver that accepts the new formats.

Here's the info on the card Patrickp mentioned in a prior post Asus Xonar HDAV 1.3 sound cards released .

That's completely true. Theres also another possibility.
You could potentially plug the cards analog outputs directly into an amp or powered speakers (like the Paradigm Studio's) as long as you didn't need to switch too many additional sources. Alternately you could take the output of a video card, like some of the newer ATI's that are 1.3 compliant, and plug that into a receiver that can decode the new formats.
Some very cool things are happening right now.

Which Blu-Ray CD ROM are you using? I've been researching this myself, wasn't sure which one to use or wait for BenQ to release theirs in Sept, if thats still going to happen.