Alright, the two of you need to go to timeout...
But to respond:
1st: I have a non-progressive DVD player, and a Sony 75h. Passing 480i through the DVD player vs. upscaled 720p on the sony 75h is a lower quality picture. The upconverting player does work, and is better than the 480i.... Its not very noticeable at my 11' viewing distance, but is very noticeable at around 6'.
2nd: I notice zero difference between 1080i and 720p on my HD-DVR, and notice zero difference in the upconverting player between 1080i and 720p. So i default to 720p. However, the argument about one more conversion while true, probably makes little or no differnce at all.