Ask Engadget HD: What's the best graphics card for my HTPC?

So, you've decided to build yourself an HTPC, huh? Splendid! Now, what GPU are you going to toss in there? That's the gist of Marcus' question:

"I'm looking to assemble a living room PC to play back Blu-ray Discs, internet video, streamed HD clips, etc. I'm stuck when it comes to selecting a graphics card powerful enough to handle all of that. I haven't decided whether or not to get a full-sized tower or just a mini-tower, so I'd appreciate suggestions for both setups. Cheaper is better, but I'll pay to make sure all playback is buttery smooth."

So, dearest readers, what's the GPU to get these days for handling multimedia content? Is ATI's new All-in-Wonder HD worth a look? Drop your advice in comments below.

Got a burning question that you'd love to toss out for Engadget HD (or its readers) to take a look at? Tired of Google's blank stares when you ask for real-world experiences? Hit us up at ask at engadgethd dawt com and keep an eye on this space -- your inquiry could be next.