The WD TV player, mentioned earlier by deefadog, is one of the most cost effective ways of playing back HD footage, IMHO.
It will play back most formats - including the original .mts or .m2ts files .
You can even fit your SD cards straight from the camera, into a USB card reader, and play those directly.
It plugs into an HDTV using an HDMI connector for HD playback, or standard RCA phonos for SD playback into any TV.
You can simply store your video on an external hard drive, or USB stick, in whichever format you choose - AVCHD, HDV, Xvid,MP4......and so on -- plug the USB from the harddrive into the player, the player into the TV and away you go.
No discs, no having to 'burn' any discs to the correct format for a Blu ray player, just plug in and go.
And it's about £70!
Apart from the price, I find the main advantage is the versatility of the number of formats it can cope with.
I convert my AVCHD to Canopus HQ to make it easier to edit, withoput losing any noticeable quality, and then export the edited files in the freebie XVID format, which again shows very little quality loss.
The WD player plays them fine, with no jerkiness or motion blur - brilliant!
And no, I don't have any connection to WD!!