You misunderstood me. They were only able to get it to work at 540p resolution. 540p isn't in the same ballpark as 720p,1080i, or 1080p. That is what I meant. Just because they can watch the movie on the PC doesn't mean they are watching a HD-DVD presentation.
As Lee Corso sez... Not so fast, my friend! They were able to get playback at 540p, not even in the same ballpark as true 1080p. That might change but I would hardly call it HD DVD on a PC.