I know things are a bit different here, but I went for a 1080p LCD being better than i.
For terrestrial tv it leaves a bit in hand here, cos I've never seen it run at more than 720p or 1080i I simply can not see a difference between the two.
Most times a smashing picture.
Up-convert. Our player is grand. Ordinary DVDs are fiddled to simulate Blue ray. It is so good that a lot of the hype about BR is being lost. Makers are said to be worried that up-convert is losing them sales.
I sent my Samsung back only because of poor black levels. Looked like someone shining torches up from the corners. But at all normal levels of room lighting, it was very, very good. It's just that we always watch in a dimly lit room.
Ours was a 120 hz and one disappointment was that the up convert was limited to 60. I'm really fussy about flicker, but was never worried by it.
GO FOR AT LEAST 3 YEARS WARRANTY. There you're likely to get it for free. Mine cost $500 for three yeas - but as it happened, saved a virtual total loss.