DVD player $250-350
Laptop $600-1000
What do you want it for? Will you or someone else be using it?
The LT has many ammenities, but easily costs twice as much. I have a DVD player and have found it very affordable and useful. Mind you I was in the same dilema and chose to keep the $300 for myself (gun money)
I used my DVD when I moved my sister to AZ. The DVD did wonders to keep my two nephews entertained during the 12hr road trip in the Uhaul. Its small size (7" scrn) allowed me to put it on the dash, for all to see. That also kept it out of reach from cheetos, juice, etc. If something were to happen to it, I'd rather replace the DVD, over the LT.
The DVD also has connections to attacth to tv when you reach your destination. In a Vegas hotel or grandma's house, hook up the dvd to the TV instead of pay-per view for the kids, while you're busy running the streets. Mine came with remote so I can be just as lazy away, as I am at home.
Travel on a plane, train, bus, etc? I feel the movie (with headphones) is much less likely to annoy a stranger sitting next you, over constant tapping of a keyboard.
My choice works and makes sense to me. Your choice should do the same for you.