Quick reply as i'm a bit busy
Yes, HD (blu ray) is the next step - and it's brilliant!
Yes there's also an audio difference with blu ray, it's called HD audio funnily enough - Blu Ray discs have so much more space for data than DVDs... (they really had to compress sound on DVDs), - but you'll need an HD AV reciever to decode HD audio... (and of course a surround sound system to hear it).
Personally I haven't updated my AV reciever to HD as yet (waiting for prices to fall), i've still got a DTS/DolbyDigital 5.1 receiver, (standard surround formats seen on DVDs) - but despite this, the sound quality I experience now is definitely a step up from DVD, - I think this is mostly because of the higher bit-rate of the blu ray player.
Since I upgrade my telly and player to HD i'm extremely happy, it's an absolute joy to relax in front of a good movie now again, - highly recommended
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