I personally did not think the PQ of the 3575 equaled any of my Panny DVDR's. I just didn't see the depth and resolution I had come to expect with them. Now I'm not saying the 3575 is bad, and recording off of a digital HD channel produced some very good PQ recordings, I might even say better than the same program recorded off of a SD channel on any of my Panny's. But IMO recording the same program on my EZ-17(or older ES machines fed the HD lite signal from the EZ machines tuner, via S-out) produced a superior picture. Now this is SP for SP, where I believe the Philips really suffers is anything below the SP speed. There is a noticeable drop in resolution on the Philips on all speeds below SP. I believe Panasonic is the only mfg. that produces full resolution on speeds above SP, all the way up to 4hr LP. Note this produces a side effect with the Panny's, most noticeable is macroblocking on fast moving objects, but assuming more stationary images, the Panasonic LP PQ IMO cant be beat.
Now I really don't record a lot of B & W material, and never was able to record any on my 3575, before giving it to my father, I sure know the Panny's can sure produce some very fine B&W recordings, even on the LP speed.
Note my father really loves the 3575. He records a LOT, and I believe using the 6hr speed every time I ask. He mostly records talk shows and was using mostly EP8 on his previous Panny's. He has a 20" Vizio, and sits 10'? from the screen. (I always detest when he gives me something to watch from any of his machines, it really looks poor to me), but I guess he's satisfied. To each his own.
Another thing you may miss about the 3575 is the lack of a 8hr speed. My father was kinda bummed about this, until I told him that he could still fit 168hrs of 6hr speed on the HDD. Note depending on your preferences you may really like the 3575, I think it's worth a try. With the great return policy of Walmart, you have nothing to loose. I think you'll like the operation of the Philips compared to the Panny's. They have some nice features not found on Panny's, and having never had a DVDR w/HDD I really loved it on the 3575. Too bad Panasonic is refusing to make a HDD DVDR w/ASTC digital tuner. I would really think about Canada, but the digital tuner is a MUST for me on any future purchases.
I think until that time I will be purchasing some of the new digital tuner boxes and will try hooking them up to the S-input of some of my older ES machines. I'm hoping to get similar PQ as on my EZ-17. I really like the WS part of the new ASTC tuners, and I really dislike recording off of SD channels anymore, having gotten used to the HD lite recordings made on my EZ machine(as flaky as it is). Note I am only OTA, and all my local channels have a HD equivalent, except for a few that I don't really record off of.
Note another thing you may like about the 3575 is it's ability to record to HDD, then edit material deleting commercials etc. and then high speed copying to a DVD with no loss in PQ. As Westly said, you must keep the speed the same for HS copying, so you cannot say record HQ to the HDD, and then change the speed to SP for the DVD, unless you record in real time, and that will produce picture degradation.
One last note about PQ. Even recording SD material on the 3575 I would say it's no worse than any other DVDR I have used in the past(and actually better using a HD channel for source). Before I purchased my Panny's I tried many brand recorders. Ilo, Cyberhome, Lite-on, Sony, LG and yes even Pioneer. I really prefered the PQ of Panasonics, which is why I have stuck with them over the years. Note from reading peoples results with Pio's I have to wonder if maybe I got a bad unit, I only tried the one from Sams club about 4yrs ago, and I believe it was just a DVDR w/no HDD. I probably only had it a day before exchanging it for the Panny ES-30, which I was more than satisfied with. And it's been all Panny's from there on, except for my brief use of the Philps 3575, where I really gained a appreciation for a HDD in a recorder.