[quote name='uncbaseballfreak']SD-DVDs cannot be played at higher than 480p over component.
Games, digital movies, and HD-DVDs can be seen at 1080p over component.[/QUOTE]
This is the truth. If you have a VGA or HDMI for the 360, it'll upconvert DVDs to 1080p. Technically, component cables can do the same, but don't because of copyright laws.