Wired has a how-to on converting your HD-DVDs to Blu-Ray. You'll need a fast Windows machine, a HD-DVD drive, a Blu-Ray burner, 30-40GB of available disk space, a whole bunch of software, and a whole lot of patience. But check your costs first; you may be able to just buy a Blu-Ray copy of the movie cheaper than you can buy a blank Blu-Ray disc ($15-$25 per blank for single-layer write-once media; dual-layer writeable Blu-Ray discs aren't available yet).
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I have no idea why they do that (maybe to have more cable subscribers on the books?) but I'm not going to fight them on it.
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"Here, let us take $20 off your Internet bill and give you free cable TV as well!"
"Uh .... OK. Sure. Don't let me stop you."