the sxrd set is excelent. I also have the 60 inch model. I have the 3lcd before and sold it for the sxrd thats how huge the difference is. To get the most out of the set, you have to use the hdmi inputs. If you have a decent upconverting dvd player, it should have a HDMI or DVI output. Use them. If you do not have one, I strongly sugest you consider that as your next purchase. Two very good units are the oppo with the DVI out OPPO OPDV971H, or if you really are intodvds, the Denon 2910, or 3910.

I have the Denon 2910, and its an excelent Cd player, SACD player and DVD player. The picture quality out of this dvd is close to HD quality. When watching the sxrd image comming from the dvd player, it looks HD.

The tv takes the 1080i that you feed it and converts it to 1080p. thats one of the reason that its as nice as it is.

The denon 2910 and 3910 have something that is really good for some and not so good for others. You can adjust the picture quality in the dvd itself. Actually, if you don't do it, then you will not get the best picture quality out of your setup.
If you have directv, consider upgrading your receiver to an h20 for $99. If you cannot get your local channels in HD, then call them and they will get a waiver for the primetime HD channels.