Hi Captain
The 868i is a fine player in it's own right. The fact that it has an HDMI output is just a bonus to some people, for future compatibilty etc.
A lot of people may only have a RGB display (via scart etc) at the moment, but are planning to upgrade to a display that can take HDMI/DVI/Component in the future.
I agree that Composite output does seem a little pointless. But it does have some use when trying to adjust things in the menu like RGB/Component/progressive when you can't get an image. (due to having set something wrong etc)
It also plays DVD-Audio and SACD, which may be more important to some than it's video playback etc.
I have a Pioneer 737 at the moment, and view the 868i as a normal upgrade.
I bought another Pioneer DVD deck, as the 737 has performed flawlessly.
Even without using the HDMI connection, it has I-Link and a wealth of video/sound adjustments that have to be seen to be believed!
I will post back when i have had more time with it