I, personally, plan to...
Buy a PS3/Blu-Ray player
Buy an HD-DVD player/Xbox360 add-on
Wait until one format gets popular & cheap
Buy both, in one form or another
Stick with DVD for the foreseeable future
Continue to not watch a lot of movies and thus be unaffected by this
In terms of the general public, I expect...
HD-DVD to win due to technical superiority and financial backing
Blu-Ray to win due to technical superiority and financial backing
Blu-Ray to win, in part due to the PS3 jump-starting the market
Neither to win in the short term, as buyers will be leery of a format war
Both to win in the short term, as combo players become available
Neither to supplant DVD, as most consumers are satisfied with it
Electronic formats will dominate as soon as Apple gets their iTV figured out
The point to be moot, as invading space weasels will steal all of our shiny discs