The second one is clearly better, if you look at the difference in grain on the fridge next to the picture of the rainbow. However I would say that the original source (the HDTV transmission) is flawed, and so resize/de-noise would almost definitely improve the picture.
MPEG-2 at 12 Mbps is not enough for 1080i HDTV transmissions. MPEG-4 AVC (H.264) would be a much better option, but if you read the news or the High Def DVD FAQ I wrote, you'll find out that Sony (surprise, surprise) would prefer to use MPEG-2, even though the Blu-ray specifications have mandatory support for MPEG-4. If they use MPEG-2, a single Blu-ray disc may not even be enough to hold an entire movie if maximum quality is required, let alone the extras.
MPEG-2 at 12 Mbps is not enough for 1080i HDTV transmissions. MPEG-4 AVC (H.264) would be a much better option, but if you read the news or the High Def DVD FAQ I wrote, you'll find out that Sony (surprise, surprise) would prefer to use MPEG-2, even though the Blu-ray specifications have mandatory support for MPEG-4. If they use MPEG-2, a single Blu-ray disc may not even be enough to hold an entire movie if maximum quality is required, let alone the extras.
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