First bought a new Roku 2 in Feb for my parents (in Texas) as they wanted "something". I thought it was cool - though I could do Netflix via the Wii.
I bought a Woot Roku about a month+ ago - my main reason was so I could use my Harmony remote to do Netflix *AND* get my Amazon Prime (currently use only Wii for SD Netflix).
After a couple weeks, we moved it upstairs so we could "pass off" the 4&8 YO kids to the master bedroom and enjoy our TV downstairs.
This came up again today. I wanted to buy one. Again. With shipping, $55. Researched the difference between Roku HD & Roku 2 - honestly, this is **NOT** a good deal.
Woot sells the "previous generation" model for $49 + $5 shipping (yes, I bought this and don't regret it). However, for $59, I can get a refurbished Roku2 XD direct from Roku (free shipping). This does 1080p (debatable if the Gen 1 does) and has more channels. So, sorry Woot - I bought the refurb Roku 2 XD today instead of the last-gen Roku HD.
I don't know for sure as I've not sampled sufficient media, but apparently the old Roku HD was only 720p, as is the new Roku 2 HD. Only the Roku 2 XD and XS are "1080p" devices. Again, no regrets; upstairs is an SD TV. Downstairs, the Roku2 XD will be hooked to our 67" 1080 DLP (yeah, not "wall flat", but 4 years old, and a darn good deal and very slim (19") for a huge screen -- it is between bookshelves, so the thickness is irrelevant!).