I don’t think there is 1 thing that can do it all right now, which is why you have an input selector on your TV.
I tried an HTPC a few years ago and hated it for several reasons.
First of all, off-the-shelf DVR software sucked.
Second, getting a real remote – like one you would use with a TV – was a pain. I could probalby have figured it out, but there was no simple solution
Third, having the fan noise drove me nuts. I’m not a true audiophile, but only because I can’t afford to be so my picky ears didn’t like this at all.
I could never get a remote, wireless keyboard and trackball to work very well either
Again, that was a while ago. Things have likely improved to make building an HTPC is easier, but I really love my HD Tivos, though they seem more error-prone than the early generation Tivos. The DVR interface on the Tivo is unsurpassed.
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Need DVR for cable/sat or antenna, plus Netflix and Pandora ? Use Tivo. A bit expensive. I buy lifetime memberships. Has a You-tube interface but it sucks.
Need just Neflix and Pandora ? Use a Blue-ray player with it built-in.
Need ESPN3 or online programming ? Boxee sounds like a nice substitute for this and you have me interested. Otherwise, you need the PC with the noisy fan and clumsy remote-control issues. Someday I may try a wireless HDMI connection from the PC in my office to the TV plus a wireless keyboard.
Need to play media from a server on your home network? Media players are nice. Hard to find one that will play ripped DVD .iso files, though.