Thats what some people have mentioned. But I tried it and it does output standard 800x600. I only see 480p on the bootup XP logo. Then it goes 800x600 in winxp desktop. It was working fine until last week thats when I saw some noise so I started using the primary display vga rather than the DVI with ATI dongle to VGA. Mind you I got an OEM Shappire card. The dongle that came with it is not stamped ATI. Mine could be another companies passthrough which only sends analog signals. The picture definitely is not scaled prohibitive because I can run the htpc at any resolution and run DVD full screened or windowed. Some DVI has both analog and digital ...like this ATI. But some like Apple only have digital through DVI. That is why only Macs can use those nice Widescreen LCD by Apple. Id love one of those for the PC.