It does indeed. The difference in quality with VGA is pretty minor on small screens. You have to use it on a larger screen where the post-processing and upscaling can shine in order to see a significant difference. The AVE-HDMI is just a digital only GCVideo clone, which are all fine to use with RVLoader and WiiHUD due to them not interacting with the system directly. They just grab a copy of the digital video and audio from the Wii's GPU and convert it to an HDMI compliant format to output separately from the Wii's normal outputs. Both can run together without issue, and the Gamecube controller input reading functionality that some have for the menu only sniffs the controller data line for certain key combos, which are different from RVLoader's WiiHUD combos. The only time one might conflict with another is if you for some reason try to adjust the U-AMP volume while the GCVideo menu is open.