Oh, and it's already been said, but the 360 allows you to change resolution to what ever you want. So you can make it 1080p with the VGA cable, or 720p with it as well. It's like a PC, it has a dozen different resolutions to pick from that it'll output.
I personally run my 360 into my HDTV using the VGA cable. It looks amazing and sharp. I run my PC into my HDTV using the DVI/HDMI input, which also looks great.
There is talk that MS will release an adapter that will allow an HDMI output from the 360, but video enthusiests say that unless you have a 1080P samsung or better, that has been calibrated by a samsung technitian and is playing an HD-DVD in a properly lit room, etc etc, their list of shit goes on and on, they say you will never notice the difference. They say, it adds up to talk. One company claiming you need this to get the best picture, even if it doesn't really matter, so that they can get more money from the consumers. If your HDTV has VGA input, just use that, and don't fall into the money trap.
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