In a word, yes it will be supported... But...
The key issue is the copy-protection systems on the discs themselves. They
can check the system to see if it has signed drivers. As 64-bit requires
having signed drivers that platform may only be able to play the most secure
films. This prevents a driver from intercepting the data and by-passing the
copy protection.
Ultimately it depends how hardcore the movie studios on enforcing their
"digital rights", from what I've read on other parts of the protection
they're not planning on rolling some aspects of it out, like HDCP until
2010.
Overall Blu-ray is harder on copy-protection and looks to be the most
restrictive as this point, with Microsoft and Intel backing HD DVD that
format looks to be the most PC-friendly going forward.
more info on:-
http://www.windowsresource.net/
Plus MS will ensure HD DVD works fine because of the xbox 360 drive add on.
With all this media centre/networking to 360 business, I am sure they will
put a little bit more effort into implementing the HD-DVD than the blu-ray
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