The Dream Scheme

One day, all your home-entertainment needs may be fulfilled by an inconspicuous cube that sits in the center of your living room. For now, if you want to do all the cool things modern consumer electronics allow — record DVDs, watch movies in HDTV, save your favorite TV shows for later viewing (with or without the commercials) and load all your CDs onto a hard drive for easier organization — you need space for a wall of sound and video.

Here's how you do it. Start with the essential component: a surround-sound receiver with a center speaker, four satellite speakers and a bass subwoofer. Next, get the right DVD player; artists such as Bob Dylan and Natalie Merchant have rereleased classic albums in the Super Audio CD (SACD) or DVD Audio formats, which take full advantage of surround-sound systems. Finally, upgrade your TV. Your old set probably isn't ready for the new high-definition programming (see "I Want My HDTV!"). Once your basic system is in place, you'll be ready to plug and play for years — or until that cube becomes a reality.

Half Price, Full Power
Home-theater alternatives for bargain hunters

You want it all, but your credit cards are screaming "Uncle!" Luckily, prices for home-theater components are dropping rapidly. These days you can buy a full system — including a DVD player, an audio receiver and a six-speaker set — for less than $300. Best bet at that price: RCA's RTDVD1, a 200-watt system that provides Dolby Digital surround sound for DVD movies and can play MP3 music files burned on a CD. Moving up the ladder, PIONEER'S HTD-520DV offers 500 watts and a five-disc changer for less than $400. SONY'S DAV-C770 home-theater system, which features a progressive-scan DVD player that provides highly improved picture quality and can also play Super Audio CDs, is selling for less than $600. For audiophiles who don't want to spend more than $800, SHARP'S PROGRESSIVE-SCAN SD-AT50DV offers a 1-bit amplifier for pristine playback of CDs or DVD movie sound tracks. Super-compact and outfitted with a smart low-volume night setting, this system is ideal for a college dorm or other cramped living space.

Finally, you don't have to sign your life away for a plasma screen. Look instead at the many HDTV-ready sets (a.k.a. HDTV monitors) available for less than $1,500, including 30-to 40-in. models from SAMSUNG, TOSHIBA, PANASONIC and SONY

POLK AUDIO RM7600
One of the best buys in high-end speakers, this set comes with a center, four satellites and a subwoofer $2,000

SONY KE-50XBR900
This 50-in. plasma TV has Sony's WEGA video engine, a digital-video input for HDTV and a Memory Stick slot
$13,000

SONICBLUE REPLAYTV 5000
Now with a lower price but a $10 monthly fee, the new Replay records your favorite shows commercial-free
$250

PIONEER DV-47AI
A universal player, it can read DVD Audio and SACD music discs as well as DVD movies and MP3 CDs
$1,200

PANASONIC DMR-E30
Toss your old VCR for this DVD recorder. The step-up DMR-HS2 has a hard drive for editing home video too
$700

JVC HM-DH30000
This VCR can record and play digital and HDTV content, including DVHS movies like the ones above
$900

YAMAHA CDR-HD1300
For MP3 haters, the HD1300 saves CDs and vinyl albums to a hard drive at full quality and also burns CD-Rs
$800

PIONEER VSX-49TXI
This receiver can handle as many as 20 components, plus seven speakers at a robust 160 watts each
$4,500