Actually, I believe that there’s one other thing that DVDs are not clearly superior in: rentability.
I have never had a problem with a VHS tape that I’ve rented. They’ve always been watchable–there’s never been a part that I couldn’t access. With DVDs that I’ve rented, however, I’ve had problems where I couldn’t watch part of the movie–it was too badly damaged for me to get to that sector. The two most notable ones were Dogma and T2–both very annoying, as they’re very good movies.
See, IMHO, DVDs are more easily damaged than VHS tapes. You home theater enthusiasts will take very, very good care of your DVDs, I’m sure. They won’t be grapped by a small child, or used as a cupholder, or scraped against the disk holder in your DVD player. If–heavens forfend!–something WERE to happen to the DVD, you could easily whip out your $29.99 DVD Doctors and fix up the disk lickety split.
Those of us who can’t afford to buy our own copies–yeah, I’ve got a cool 20 to drop on a disc I’m going to watch maybe twice–don’t have the option of taking care of our disks. We are forced to attempt to watch disks that the previous renter allowed little Emma and Jordan to use a as a friggin’ Frisbee. We must cringe through, blatant pixelization, and sometimes downright freezing and unwatchability, unless, of course, we wish to spend thirty bucks on a DVD doctor. Which we don’t because we are poor bastards.
So we rent VHS. Yeah, the image quality isn’t as good. Yeah, we don’t get to learn that the person who plays Our!Heroine! was a stunt double in Debbie Does Dundee. But we get to watch the freakin’ movie without having to trek back to the video store to ask for another copy, which is all we really want anyway.
Otherwise, yeah, DVD is much better for just about everything else.