I already have an idea for a useful app for a phone with 72 surface sensors that can detect the position of the user's hand - detect the size of the hand and if considerably smaller than an average adult-sized hand, immediately lock all functionality.
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Enough with media formats, the future has to be in broadband delivery. How annoying is it when you want to see a specific movie and one of the following conditions applies: a) the store or rental establishment is closed, b) you're drinking and cannot get to the store or rental establishment anyway, c) movie is out of stock, d) movie is independent or hard to find, e) movie is not one of the 12 available on pay-per-view. (More annoying if you consider how convenient it can be if you're willing to violate copyright laws).
As far as the HD goes, I kind of just prefer sporting events and specialty shows in HD where the extra detail is interesting. Movies have a lot more special effects and more post-production work so HD doesn't seem as necessary. Any DVD from my collection looks great even just from an old progressive-scan DVD player with component connection.