Yes, only on the right display. Even VGA will look good in a cellphone screen with a good resolution.
In my case, I have both HQV and Gennum processing to upscale and delinterlace 480i signal in its digital form(480i via hdmi). The processing involve DOES NOT INCREASE RESOLUTION. it just fill lines between scanlines to make the picture smooth and then scale the progressive image to the native resolution of your display. This is not easily done as artifacts are generated with even the best processors.
Upscaling will still have a softer feel compared with HD. This is very evident with my 106 inch 16:9 screen.
The advantage of true hd (1080p) is that you pass on the digital signal in a pure form without the need for any processing to your display. Most blu-ray and hd-dvd's are mastered in 1080p/24 and if your display can handle this resolution and frequency(or a multiple of24 like 48 and 72hertz) then a 1:1 pixel mapping is taking place.
The good thing is, you can enjoy HD by sitting closer to the screen and have a better immersive experience than before. The greater the resolution the closer you can sit watching TV
