I've never owned an Outlaw product, and I currently own Emotiva's LPA-1 amp. I returned my LMC-1, but I did enjoy its sound quality. I am a fanboy of neither company.
How can anyone slam Outlaw for 'not passing the savings on to the customer', and praise Emotiva for passing on savings? Take a look at the price/features (featuers based on my understanding, so don't take it as law) of the prepros from each....
LMC-1: $499. comparable DSP & DAC to the discontinued Outlaw 950. Free HDMI video switcher. Buggy. Made in China.
970: $699. More current DSP, older DAC (950). DVI inputs. Field updatable. Made in Malaysia.
990: $1099. More current DSP, newer DAC. balanced connections, DVI inputs. Auto calibration. Made in Malaysia.
MMC-1:$1199. More current DSP, newer DAC. Based on DMC, lacks some of the features of the 990. built in HDMI video switching. Made in China.
DMC-1:$1299 (on sale). More current DSP, newer DAC. Based on Sunfire IV. Balanced connections. Free HDMI video switcher. Made in China.
It's a wash. 2 of Emo's prepros are more expensive, but don't really have any solid benefits over the 990. I could be very wrong about that, but I've researched extensively and it appears that the 990 is sonically very similar to the DMC/MMC. The 990 does have more flexible bass management, auto calibration, and balanced inputs. Solid features above and beyond the MMC/DMC, except for the DMC's balanced inputs. And it's cheaper! They're all made overseas where the labor is cheaper.
In my book, it looks like Outlaw has the lead in 'passing the cost savings on to the customer' over Emotiva. The 'flagship' Outlaw 990 is at least $200 cheaper than the 'flagship' Emotiva DMC-1, and offers a few more features.
The 40% off deal is very tempting, but at the same time it's a bit of a double-edged sword. Everyone likes to upgrade to the latest and greatest audio toys, and the 40% off helps so long as you're content to stay in the Emotiva camp. But then again, they're almost saying that "we can't count on our customers to be loyal to us in the future, so we're going to bribe them to buy our first-gen products now." If Emotiva had a track record of product improvement over the years, it'd be a no-brainer. But they're new, and they don't. So it becomes a question of faith. Do you have the faith to believe that they will deliver new and better prepros that you are going to want to upgrade to?