Best processor/switcher/scaler for new ht system ?

I am building a HT from my sacd multi channel system. So far I have a Sony sacd and a sony p9000 es multi channel preamp, it has no processor. I am putting the 5.1 analog outputs from the sacd player and the 5.1 outs from a oppo player through it. Then using the bypass on my 5.5 vtl preamp.These are balanced to front left and right, and into vtl mb450 mono blocks ,then to B&W 802ds.For the center I am going to another vtl mb450 but with rca to the center channel ,to a B&W HTM1d.The rears I am using a unbalanced stereo conrad johnson mv75a.In addition to the sacd and oppo, my sources are a vpi scout, macintosh mr78 tuner ,playsation2,Xbox360 and hd cable box. I have put component cables from my optoma Hd70 to a radio shack hd componet switcher and am not happy with pq on the xbox or hdcable and its only two channel,I have run an hdmi from the projector as well, direct to the oppo player and it work great but no imputs to access the processor. The hd70 only has one hdmi imput.
So need something for the HD cable and games {plan on getting a playstation 3 when they become available}, right now I have them running 2 channel going via the vtl5.5.
I am not concered with two channel because I have the (5.5) The piece doesn't need to have tuner(mr78) or phono (vtl phono preamp ). I would like it to upscale,but the hd70 only outputs 720p or1080i.It doesn't need a second seperate zone. I would prefer to buy the best but not waste money on things I already covered. Important to have great scaling,switching and surround sound. Thanks for any help.