As to supporting native resolution, if they can implement this well, then this is a very nice feature. Having the option of allowing one's TV to convert the video is a "good thing." Many TVs would likely do a much better job than the Dish receiver. And if they don't, then just switch your Dish receiver to a fixed standard output. Best of both worlds.
Some TVs have very advanced circuits to handle image conversion. After all, they have to handle it for OTA channels if you are using their built-in tuner. A high-end 1080p TV would likely do a better job of converting a 720p channel to 1080p than having a Dish 211 handle the conversion of 720p to 1080i and then sending 1080i to the TV to be line doubled.
Some TVs have very advanced circuits to handle image conversion. After all, they have to handle it for OTA channels if you are using their built-in tuner. A high-end 1080p TV would likely do a better job of converting a 720p channel to 1080p than having a Dish 211 handle the conversion of 720p to 1080i and then sending 1080i to the TV to be line doubled.