Fallback was taken care of on older Blu Ray disks with LPCM and an AC3 track as backup for negligible extra space.
With that said I do want to make a distinction between the two. I much prefer Dolby True HD over DTS HD. True HD has open source decoders, and is more open about the standard. I can appreciate the True HD standard, but its dying out to the more locked down DTS HD.
Honestly Steve was right that the entire Blu Ray standard is a "bag of hurt" and it seems the best option is to have a nice enough Blu Ray player that you have options in the future.
LPCM is possibly the lamest thing they have done with home audio, and that's why it's hardly used. While it is true that the AC3 backup is negligible in space, the LPCM track is
not. It is huge, it affects space on the disk so much that it is less likely to include more language tracks, which is something that is appealing to many people, and even if we don't want more languages the space would be much more wisely spent on video bitrate. Since there is no difference in quality with TrueHD, MA, and FLAC, it's lame.
I'd also comment on your preference for TrueHD, which I think is again in the wrong direction. DTSMA is a much better format, because it begins with a better baseline lossy track of 1.5M and then adds a small residual (the difference between the lossy and the lossless signals). This means that most of the total bitrate is spent on the lossy track, where it should be.
With TrueHD, you start with a baseline of 640K and then build the residual. Most of the bitrate is spent on that. If you do not have support for the new formats, DTSMA provides better audio quality.
I agree with you about the open source decoder issue, but DTSMA is the better format
