Actually, I think that is correct. The Oppo will only output 720p/1080i for non-restricted content over component. I think if your display is able to upscale to 1080i though, you would be able to set the Oppo for 480i, you will still end up with 1080i, but it will not be with the better processing of the Oppo. So unless you do intend to get another TV very soon, I wouldn't bother spending $500 on this player when most less expensive players will give you the same thing right now until you upgrade.