I know I'm asking a lot, but I'd like to:

1. Watch DVD-Video disks
2. Watch DivX/Xvid content
3. Output progressive scan video using RGB, Component and DVI
4. Output audio using optical or coaxial digital output to a Dolby Digital and DTS compatible amp
4. Have a network interface (preferably wireless) and be able to transfer connect to and from my PC and play from my PC
5. Record from my TV using built-in or external tuner with time shifting capability
6. Remote control from my couch

Is there such a device? I know the Kiss DP-558 comes prety close, but it has no DVI output and no wireless interface. Also, from what I am reading, it is reported buggy. Can I do this using a computer without having to use a keyboard?

You're gonna shoot me - but Windows Media PC's do this and even come with a remote control?

Or perhaps an XBOX? - My XBOX plays everything I want - has digital output - not sure about progressive scan? - But a modified XBOX with XBOX Media Centre on it - is not to be sniffed at! Especially for such a cheap price...

yep my xbox does pretty much all of that, and all at the fraction of a the price a media centre would cost me, only the price of the xbox, a new advanced optical output cable and a remote control.

I don't have a Media Center Xbox, but, from what I've read around, it can't record from TV with time shift (which is veeery handy), does not have DVI output (for the latest projectors and plasma and LCD TVs) and it does not have an internal HD (with capacity to speak of) in order to have some local stuff in case the PC is not available. True, it is very cheap and capable on playback. On the other hand it requires quite a bit of technical knowledge to put together and maintain (mod, patches, software etc).

well it can record tv shows with an external tv card i think i remember reading somewhere. It does have a Hi Def output as well for all those who have HD TV's etc, i'm sure that would include plasma's, and the newest projectors. The Hard Drive can be upgraded quite easily to as big as you can buy (500GB is the lastest hard drive i've seen out), or you can have multiple hard drives on a switch system. It doesn't take patches etc to maintain, sure the odd software update for some of the programs you run on it but apart from that.