Nero has announced that ESS Technology's Phoenix HD Enhanced DVD processor has achieved Nero Digital certification. Here's part of their press release:
Nero, leaders in digital media technology, announces that ESS Technology Inc.'s ES8380/ES8381 Phoenix(TM) HD Enhanced(TM) DVD processor is Nero Digital(TM) Certified. Nero Digital, co-developed by Nero and Ateme, is based on industry standards MPEG-4 Video (MPEG-4 SP/ASP and AVC/H.264) and MPEG-4 Audio (LC AAC und HE AAC) compression technologies. It enables the delivery of more high quality MPEG-4 compliant audio and video content at lower bit rates, while offering advanced interactive features.

The Phoenix ES8380/ES8381 single-chip HD Enhanced DVD processor, which features an integrated servo controller and RF amplifier, provides users with standard DVD decoding (with options to support MPEG-4 ASP decoding, HDMI transmitter and Class D power bridges). It incorporates advanced video enhancement features such as an HDTV encoder that can display JPEG pictures at full HD resolution, as well as video up-scaling and de-interlacing to display video at HD resolution.
If you'd like to read more, Nero's entire press release can be found here.