I've noticed that when I switch between/to sources with the HDMI inputs (Bluray & AppleTV) there is a flash frame of the source's video, a bit of delay, audio cut in and out followed by a nice fade in of the picture followed by the audio cutting back in where everything is fine.   

The Apple TV in particular has a hard time with what I guess is the "Handshake" that everyone refers to.  The little BS3 graphic overlay identifying the source is cut short as there is a brief flash of AppleTV video which is occasionally garbled.  The entire process takes about 12 seconds to switch.  

The DVD takes about 7 seconds to switch and seems to have less trouble as there is not any garbled frames flashed.

I'm assuming that the audio cutting in and out is the switching between analog and the digital inputs internally. An issue that occurred in my BS1.

 It's not that bad overall I just want to make sure it's performance is in keeping with it's design.  It's obviously designed to do a nice hand-off from input to input.  I would assume that there is always the possibility that not all components play as nice via HDMI.  I just want to make sure that this is typical with other's experiences?