The difference between the analog and digital connections in discussion here is smaller than most people think. Component will look as good as DVI/HDMI at least 90% of the time for television broadcasts (SD and HD), assuming normal viewing conditions and correctly working hardware.
Once you start getting into true 1080p material (ie. Blu-ray), extremely large, precise displays (ie. new 60"+ TVs), and the utilization of HD surround sound audio formats, then HDMI becomes quite useful. Until then, though, it is not worth paying more for digital connections. Don't be fooled by the hype.