Do you have it hook up through a VGA connection? You can not get 1080P through component or HDMI
Some models allow 1080p through component, others do not, it depends on the manufacturer.
http://www.avsforum.com/avs-vb/showthread.php?t=675595
Google pointed me to this post on AVS when I put in "1080p over component?"
Any time you can buy into a new technology for 2 c notes that is a very good deal. I hope the rumors of M$ bringing out a Xbox360 with an internal HD-DVD drive and HDMI is true. That is what I am waiting for!