For the first position, I think it is quite clear to anyone who studies and spends time with animals that they have something that is at least of the same kind as our consciousness. I just don't see how you can ascribe the wide gamut of complex, situatuonally and mood appropriate but still varied behaviors of animals to being purely instinct driven.
For the second position, I would like to see some study or some rationale behind it - especially since cats don't kill every bird they encounter, so if it's an instinct, it must still have some trigger, and hunger is not a viable explanation for most of the killings referenced here.