A little late into the discussion, but what other moderators have missed highlighting is the AVR
If you buy a HTIB from a hifi brand -Yamaha, Onkyo - they have a AVR at the centre
When you go for a consumer electronics HTIB from Philips/Sony/LG, you do not get a AVR - the amplifier is combined with a dvd player.
The advantage of an AVR is multifold
- It has myriad connectivity options. You can connect all your devices - dvd player, Xbox/PS3/PS2, DTH box, any HTPC, media player like WD Live, a direct 3.5mm line in from your mobile phone, or connect a 2k Belkin bluetooth receiver. ALL of this (and more) can be connected to your AVR. And a single output goes to the TV and sound output from the speakers. In contrast, a consumer HTIB has maybe a 3.5mm input option at best and a USB port.
- It is modular. If one of your speakers go kaput, you can replace it with speakers of some other brand (if same is not available). AVR will work with most hifi speakers (assuming similar power). Or if your AVR goes kaput, you can replace AVR and old speakers will still work. But in consumer HTIB, if something goes kaput, entire unit has to be junked. And life of electronics is very unpredictable these days
- It is upgradeable. If every year you get some funds to upgrade, you can start replacing speakers 2 at a time. Or go for a more powerful AVR. One step at a time. In consumer HTIBs, step by step upgrade is impossible
So quality of sound being better notwithstanding, you should take a 4-5 year level view and seriously consider a budget Yamaha or Onkyo systems vs a consumer HTIB