Its not the VERY best in BD PQ, but that's not even going to matter unless you have a really top notch display.
PS3 seems like a great choice. Kid will be much too happy.
Only thing I wonder about is if it can be placed with adequate ventilation. Some have complained about loud fan noise, which usually occurs when ventilation is not ample.
I'm not sure if this is going to be a good option. Is the Blu Ray player on the PS3 a good option? Or would I benefit more from getting a player that is strictly for Blu-ray.... I am used to products that are used for multiple purposes to not be good at all of them, so I'm worried a video game system won't be the best when it comes to movies. I don't really think a full Blu-Ray player is something that is needed for the needs I'm looking at. But, at the same time I don't really think the PS3 is a system that is a must have. However, combining the two I think it would make more worth while, but I don't want to sacrafice the quality of the Blu-Ray so there is a video game system too.
Thanks!

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