10.4's DVD player has always had that preference pane. It's for making "HD-DVDs" in DVD Studio Pro 4. They're not real HD-DVDs, they're regular discs with your HD videos encoded in h.264, and apparently only playable in Macs running 10.4. Possibly anything else that can play h.264 videos as well, so maybe some PCs.
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10.4's DVD player has always had that preference pane. It's for making "HD-DVDs" in DVD Studio Pro 4. They're not real HD-DVDs, they're regular discs with your HD videos encoded in h.264, and apparently only playable in Macs running 10.4. Possibly anything else that can play h.264 videos as well, so maybe some PCs.