They may have shipped 1 million PS3's, but how many have sold? Last time I checked they're sitting on store shelves, and people who bought multiples hoping to sell them on EBay are stuck with them.
Think about this, people will insist on high quality, right now xbox is doing movies @ 720 that take hours to download, kick that up to 1080i (I don't even want think about p)then if thats the only way to get a movie, everyone is going to be online slowing down the system. Plus, I live in the middle of nowhere, my only option is satellite, @ well over $100 a month, I dont think so. I dont know anyone who has a PC hooked up to their TV. Now they'll have buy a high speed PC with a big hard drive, a high speed internet connection, and if the PC is'nt in the living room, a way to get it there. Add all that up and that HD/BD player starts to look pretty cheap. Like Scott (above) said, I want to hold my movies in my hand, I don't know how your luck is, but I've lost a hard drive or 2, with xbox live you can download it again, but if you just lost 10 or 20 movies are you really going to go through all that hassle.
Let the hive mind of Engadget get that for you.
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Now that have someone make a universal remote like this, sans the stupid clock