It's in the discussion mostly likely for the people that have huge collections of DVD's, I probably have 300 dvd's and there's no way I'm going to re-buy them all on Blu-Ray.
The PS3's upscaling isn't great but if it's all you have it'll do just fine and I also agree I've never had an issue with the noise level of the PS3 I don't even hear it when I'm watching a movie.
Unfortunately I wouldn't expect netflix streaming on the PS3 anytime soon.