Blu Ray is good.
So is the HD DVD format. The "war" is mostly mythical--since we're talking mostly software interacting with a DVD drive, and not the huge physical differences between Betamax and VHS, the obvious solution is sets that can easily play both.
These are just starting to show up. Other dual format systems already on the market have had a few problems, and I suspect the tech needs to mature a bit, but I expect most DVD players will be "all-format" in the next few years.