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I'd just like to add my comments to the Basic quality/VHS question - it's not as straightforward as better than or equal to VHS - it's just different... As the image is compressed, the more bandwidth you throw at it, the better it is (compare 56k video steaming to 300k).
Quick moving images look awful at times, and there sometimes can be a noticeable lag when a screen completely changes image (such as a camera cut).
With VHS, the poor image just tends to look soft or grainy (or at least it did on my old video).
It is watchable though, and if you are going to watch the majority of the TV through TiVo (which is the idea) I'm not sure if I would be happy with the quality.
Your results may vary of course!!! I'd go with cwaring - medium quality is much better than basic, and will look good on all but the bigger TVs.
 
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