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Your buddy is full of shit. DirecTV's HD package is $10.99/mo. Link.
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First off, LoL, I don't think a GOOD buddy of mine would lie to me about what he's getting charged for the HD service. That's funny.
And second, maybe our rates for the HD service out here in Cali are different than they are out in the, "Midwest yo!" B.
I know that my buddy was using the HU card for the standard receiver/satellite combo (non-HD) and had the programmer w/out subscribing to DirecTV's service (you love it huh B?) So I'm assuming he decided to sign up w/ DirecTV and got a new customer offer, etc. Well, I'm gonna see him today.