Six of one, half-a-dozen of the other. If you upgrade your service first, you pay a few extra bucks a month for no gain and you shell out for and HD receiver or DVR. OTOH, you're immediately ready to go the day your HDTV arrives. If you get the TV first your current DVDs will look a lot better, but most of your TV channels will look
worse on your HDTV. (That is just the nature of things with an HD set being fed marginal source material.)
If you're going to do both in fairly quick succession (say within the same month) I'd say get the new satellite service first so you can enjoy your HDTV almost as soon as it is plugged in. (Realisitically you'll need to adjust the picture first with
Digital Video Essentials or
Avia Guide to Home Theater or a similar consumer calibration disc.)
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Also, would the DTV HD channels look better than my current SD service on my current TV?
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Doubtful. They would be downconverted to NTSC analog before being sent to your TV and I doubt starting out as "HD signals" would make any real difference in the final image. OTOH, I've never seen an HD cable or satellite channel displayed on an SDTV, so I can't say for sure.
Regards,
Joe