I picked up a new dvd player a week or so ago, and I must say I'm impressed. Not only does it play DVDs quite well (something I have had an issue with on occasion when using my XBox to play DVDs), but it supports playback of DivX and other MPEG4 formats (such as Xvid) from either CD or DVD media. This is great!
View Specs @ DivX.com
This is a very nice feature! You can either play your own divx/xvid files that you have encoded from DVDs that you own, or you can use the DivX.com rental service, "DivX VOD".
Definitely worth checking out, and a great price ($80 or less) for a nice progressive scan dvd player.
Note -- Thanks to Doug for pointing this DVD player out to me.