Just a quick note. Walmart had a horde of DVD movies still laying around for black Friday. We bought a fox movie for 2 bucks (Home Alone) and started to watch it. The quality was predictably bad but I went to redeem the digital copy and found that it was HD digital. It was significantly better quality than the DVD itself. I checked the box and it sure enough said on the top its a digital HD copy right on top. Vudu redeemed at HD quality.
That is a red hot deal to me but not sure if studios other than fox were doing this. It's worth a second look if you have any around your neighborhood.