Adams - you will still need a Software DVD player. I just got an ATI AIW Pro 128. It came with ATI's DVD player software which workds fine, but you should be able to use any software program, ie WinDVD, Power DVD, etc.
I know that the Radeon comes with a software DVD player. If you are asking if one is needed at all to watch DVD's, the answer is yes. I think (but could be mistaken) that the ATI DVD player has a bug that prevents using hardware motion compensation. WinDVD DVD player allows the Use Hardware Motion Compensation box to be checked.
If your ATI card uses a Rage 128 or newer, I think that you should have received DVD player software. In any case, you can go to ATI's site at http://forums.anandtech.com/categories.cfm?catid=31, and order the DVD player for $10.
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