"Iso's mounted via Daemon I understand, but daemon only mounts 4 drives right?
So if you want to have 50 DVD's ripped to HDs do you not do it via ISO's for future playback?
What do most people do for storing the DVD images? File Rips, AVI's, ISOs?"
It sounds like you are confused about how Xlobby/Daemon Tools works. You only need to have one virtual drive. Xlobby will automatically retrieve the ISO file and mount it onto the one virtual drive. Just like a regular physical DVD changer, there is only one actual drive but many slots that hold the DVDs that are then loaded into the drive. You do not need to have a separate virtual drive for each ISO file.
To store the ISO's you simply place them in a folder. You later designate the folders on your PC and/or network that hold your ISO files in Xlobby's setup, so that Xlobby can build your DVD/ISO file library.
If you were to use VideoLan (which I had setup before with Xlobby to check it out) you can either mount the ISO file then play it from the virtual drive (this is what you do for all the other software DVD players as they cannot directly play an ISO file) or you could have VLC play the ISO file directly.
Good luck!
hjackson