nDee, I can't see how DVD quality could improve much beyond what I get with my Dxr3. I have compared it side-by-side with WinDVD, and I think the Dxr3 is better. Plus, with my SB Live!, the 4-speaker downmixing is great. I do have a copy of WinDVD 2.2, and now that I have a Radeon with iDCT, I might give it a try. I also just really like the fact that my Dxr3 uses only 5-10% of my CPU during DVD playback. If and when I install WinDVD 2.2, I'll let you know how I feel about it.
Another note on installation: the only things I did to prepare for the Radeon was change my display driver from TNT2-Ultra to Standard VGA, and install DX7.0a. After doing those two things, I just shut down the computer, pulled out the TNT2U, installed the Radeon, booted up, and installed the 3056 drivers. It was as simple as that. I thank the stability of the 440BX motherboard for that.
Lastly, I have a Sony FD Trinitron (CPD-E400) monitor, and I do not get the "shimmering" effect. Again, my Dxr3's passthrough cable might be masking that to an extent, but I don't know.