BlueRay is one of the two competeting formats for HD movie disks, we should see it coming out around next summer with the PS3. They have already anounced that HDCP will be required for HD playback and the other standard, HD-DVD, I don't think has anounced that requirement yet but I am sure they will.
As for your cable box, unless you have HD-cable, it probably won't have YPrPb; and if you don't have YPrPb then you don't have to worry about down conversion becuase its just going to be a 480i signal anyway. Regardless, if you do have an HDCP enabled cable box wtih YPrPb it will only output 480p over component anyway as that is a function of the copy protection. So HDMI with HDCP can come in really handy if you plan to watch HD content on your HDTV.