You seem to misunderstand much about what is happening here. HQPlayer and Rob's DACs both seek to accomplish the same thing, to bring you closer to the music by lifting veils resulting in greater depth and providing greater clarity of detail through upsampling. HQPlayer's ambitions, however, are more modest and limited by the hardware platform they choose to use, meaning a PC or Mac. To upsample to DSD512 (or DSD1024), you need an incredibly powerful and noisy machine and yet with the FPGA in DAVE, Rob can upsample much higher and with the M-scaler in Blu Mk2, even higher still.
According to Miska, upsampling with HQP from 16/44 to 11.4MHz yields something like 4M taps but according to Rob, his method of calculating taps is incorrect and if he were to use this same formula, DAVE would have tens of millions of taps.
Regardless, as I own 2 copies of HQPlayer (for Mac and Windows), a while back, I used my video editing PC which is an HP Z820 workstation with dual 8-core Xeons, 64GB of RAM and nVidia Quadro K5000 GPU with 1536 CUDA cores. This machine was very capable of allowing me to smoothly upsample to DSD512 with HQP direct to DAVE but also using my microRendu as an HQPlayer NAA and yet DAVE sounded better without upsampling in every instance.
Here's another perspective for you to consider. As someone who seems to really love HQPlayer and DSD, I'm assuming you've seen Michael Lavorgna's recent review of the T+A DAC 8 DSD:
http://www.audiostream.com/content/ta-dac-8#bvfTd64tcbAuVrwb.97
This DAC has obviously been very popular for many because of its more modest price and its ability to play DSD512. In the review, he used a $16k SGM 2015 server to feed the T+A DAC 8 an upsampled DSD512 signal and claimed it was superior to most everything he had previously heard except his own TotalDac d1-Six and the dCS Rossini, which he felt were still better. Well, if you recall, I used to own an even better TotalDac d1-monobloc and also directly compared DAVE to dCS' best Vivaldi DAC combined with dCS' Vivaldi Upsampler and very expensive dCS Master Clock and DAVE was better than both of these setups. With the M-scaler, that gap grows even more.
The point is that much of what is happening with HQPlayer doesn't apply to the DAVE. The rest of the world is trying to play catch up.
As to Ted, if you are referring to Ted Brady, yes, he's a good guy and a fan of Chord but to my knowledge, he has not heard/compared DAVE against what he has now. As to his claim that upsampling through software is better? Maybe better than their non-Chord DACs in stock form but as far as I have heard, it isn't better with the DAVE. Is it cheaper? Maybe if you have modest upsampling ambitions but if you have to buy a $16K SGR 2015 music server, then it's not. In fact, once you hear Hugo 2 for yourself, you'll see because when I heard it for myself at CES, my first thoughts were "OMG, I'm listening to DAVE!" and it was only after a direct A/B at the Chord booth was I able to convince myself that DAVE was still noticeably better but this gap has definitely narrowed. I would be willing to bet Hugo 2 by itself can outperform the combination of SGM 2015 and T+A 8. At this point, I would consider Hugo 2 as the 2nd best DAC I've ever heard.
With Blu Mk 2, you seem to be blinded by the "obsolete rbcd player" that it contains as you completely ignore the M-scaler that can be used with other sources including a cheap Mac Mini. Despite its high cost, it is still considerably less expensive than an SGM 2015 music server and even when combined with the Hugo you already own will likely blow away even the best system that Miska can put together.