Hello Alzee,
If your wanting a new processor that will handle the new HD audio formats, I have some good news for you and some bad news. The good, you have a few options, the bad, not many.
Both Hi-Def DVD formats require an HDMI connection to output the Hi-Def video and audio DTS-HD/Dolby Plus. So to decode the two new audio formats you can do one of the fallowing.
1. You can send the single over Toslink or Digital coax but it will be down converted. (That would be bad)
2. You can use the HD-DVD/Blu-Ray player’s internal decoders (if it has the DTS-HD/Dolby True processors built in) and output the processed single threw the RCA jacks.
3. You can Process the single in the player and output a PCM single over HDMI to your receiver/Pre-amp.
4. Send an unprocessed Dolby True/DTS-HD single over HDMI and let the Dolby True/DTS-HD decoders in the receiver/pre-amp processes the single. (Best option)
The DVDO iscan is a video processor/scalier, if you were to send the single to the iscan it would only be video, the iscan does not process audio.
You need to find a receiver or pre-amp that has HDMI switching that conforms to the HDMI 1.1 speck. If the pre-amp does conform to the 1.1 spec them you can send a PCM single over HDMI to the pre-amp and play back the DTS-HD/Dolby Plus single. Then you run an HDMI cable out of the pre-amp to your TV for the video.
At this time no receiver or pre-amps have the ability to decode DTS-HD/Dolby True and we probably wont see any until this time next year.
Arcam makes a processor that has HDMI switching that would be perfect to send a processed DTS-HD/Dolby True PCM single to, but I don’t know if it is HDMI 1.1 compliant? Another option is Anthem new Statement D2 pre-amp that will have a internal scalier and HDMI switching/transcoding, it will playback a DTS-HD/Dolby-True PCM single and do every thing a iscan can do in a one box solution. The catch is that it will be exspensive, the D2 will be out very soon with prices estimated between 6 to $8,000.00. not cheap but a statement peace none the less.
Hope this helps