The Roku HD is nice. With a 32” TV, I would not sweat the difference between 720P and 1080I/P. Unless you sit closer than 3 or 4 feet from the TV, you won’t see the difference. If you sit farther than 7 or 8 feet from a 32”, you won’t benefit from HD at all compared to a good DVD player. HD over the Roku looks great on my 54” plasma, somewhere between DVD and broadcast HD, both of which look pretty darn good.
For sound, if your Bose has Optical In, you can connect the sound from the Roku HD to the Bose via a TOSlink cable.
Had posted before I read your comments.
That’s encouraging to hear about being able to use the Bose...and also about the Roku picture quality.
I will say that even on a small 32” the difference between using component cables or just RCA cables is huge! Of course, that’s also because of the HD channels on Comcast. My picture is crystal clear with the component. Not so when I just used the RCA.