This is indeed a tough call. I've owned HD DVD since it launched in May 06 and have owned Blu-Ray for about a year. Before recommending anyone to buy an HD DVD player after the news that it has all but died, you really have to look at all the angles here:
1. Since Toshiba's announcement to abandon HD DVD, Blu-Ray player prices have actually INCREASED.
2. Are you willing to drop $400 or on a Blu-Ray player within the next year or so?
The main question is this: Are you planning on sticking with Standard DVDs until Blu-Ray players go down? If that's the case, then why not pick up this player? Like everyone said, it does upscale DVDs quite nicely (and is now probably the most inexpensive up-converting DVD player you can find) and HD DVDs are still available for purchase. However, if you know that you'll probably get a Blu-Ray player in the next year or so (which also upconverts standard DVDs) then I'd say not to get it because at this point, it wouldn't make a whole lot of sense to have 2 seperate players.
Sidenote: It pains me to say that because I have enjoyed HD DVD for (essentially) the last 2 years and can't say enough good things about the format. But, I don't want to get off-topic here...