I asked the rhetorical question: what do they user for Blu-Ray and HD-DVD players.

It appears that this company supplies single chip solutions:

http://www.sigmadesigns.com/public/Products/SMP8630/SMP8630_series.html

I'm not sure if a single chip solution would be best. We basically need three modules:

        Decoder -> Scaler/ColorSpace -> FrameBuffer

If a SoC has the frame buffer, it would need to have external access to it and a suitable video controller.

--
JRT
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