No progressive-scan for Xbox DVD

The Xbox DVD player will not have progressive-scan capabilities.
 
Microsoft has confirmed that the progressive-scan DVD feature will not be available in the final retail version of the Xbox console. The company would not elaborate on the specific reasons behind the exclusion of progressive-scan, but judging from previous comments from Microsoft executives, the feature was, at one point, under consideration for inclusion in the Xbox. Supported by newer digital high-definition televisions, progressive-scan writes one full frame of video in a single pass--as opposed to the double pass used for the regular interlaced method--which results in a clearer DVD image quality.
Issues with cost are likely the primary reasons that Microsoft has decided not to include progressive-scan capabilities in its DVD players. Currently, stand-alone progressive-scan DVD players range in price from $200 to more than $1,000. Consumers will have to purchase a separate DVD kit, which includes a remote and software, for an approximate price of $29 to play DVD movies on the Xbox. The console will be released this Thursday.
 

Source

Yea the Xbox website has confirmed this for a while. If you look as the AV pack it says for games only. Oh well.

That will shut those xbox fanboys up, for an hour or two