Confused about DVD-A

If you are not an early adopter or just curious, then wait a year and see how things go. Both DVD-Audio and SACD can sound very good when mastered and played back correctly. Much of the current confusion occurs because of the differences in quality of players available for each format and because of the limited quantity/quality of software.

As far as two-channel versus multichannel, most people currently listen to both formats in stereo, not in multichannel. But I have been extraordinarily impressed with the improvement in musical communication with multichannel, and I believe the future lies here, even if not the immediate future.

Sorry to add to your confusion but there is a difference between DVD-A and DVD Audio. DVD-A may not be compatible with early generation DVD players. DVD Audio and SACD is not compatible with early generation DVD players. Some mid generation players down sample the 24/96 of DVD-A to CD red book before allowing digital output. To the best of my knowledge neither DVD Audio or SACD permits digital output at all. There are only a few players that can play all of these formats (never mind all the other ones HDCD,CD/R,CD/RW ,DVD/R,DVD/RW,DVD RAM,ETC.,ETC.). You can stick with a 2 channel system, at least for now.

CDs going the way of the dinosaur? Don't bet the rent. Neither new format has demonstrated the capacity to reach critical mass in the marketplace. Might happen, but I'd advise you to be as cautious with them as you were with CDs in the first place.

On your multichannel question, yes you can listen to multichannel disks on a two-channel system. Just understand what is happening: The multichannel recording is being "remixed" for two channels, according to either specific instructions on the disk or a generic formula used by your player. (At least, both approaches were supposed to be technically feasible; I don't know how this has worked out in actual practice--perhaps someone else can bring us up to date.) I've always been a little leery of either approach, but I haven't listened closely enough to 2-channel mixdowns yet.