I have the A2 and a Bluray player, and we tend to use the A2 99% of the time.
My brother was up recently and he has an HD DVD player as well. He was very impressed with the A2's performance and PQ when mated to a Sony SXRD. Actually Casino Royal and the PS3 blew him away, but we both know that was a showcase BD movie and was going to have a top notch transfer. The Lake House was nothing really special and in fact the BD version really didn't look all that different from the SDVD version upconverted on the A2.
We also watched Madmax The Road Warrior in HD (as well as tons of others) and the transfer is the biggest factor in the end for either format, well in my opinion
I can't comment on Bluray players and upconversion because the PS3 doesn't upconvert. I would love to see the XA2 in action. I am thoroughly pleased with the A2 and can't imagine what things would look like even better!