The vast majority of my customers still want DVD, especially when it comes getting their home movies transferred from VHS, Betamax or whatever format it's on, and in that instance, DVD tends to have the higher quality, since you are able to put the interlace video on DVD in interlace, whereas with USB or file based video you need to really convert it to progressive or else you get the combing artifacts. Sure you can run it through a software de interlacer, or a hardware de-interlacer, but in both casesthe quality suffers some, while upressing DVD/Blu-Ray players tend to have better higher quality de-interlacers at a lower price.
Plus us another thing with DVD is you don't need a high bandwidth to stream the video online. I'm in an area where there is high speed in the cities, and some of the outlying areas, but then there are a lot of places, outside the cities, where the internet speed is just dial-up.
