I saw a 50" LCOS at a BLOSE store around me. It looked terrible. Granted, they were running a non-progressive signal to the tv, and then they blew up the image to fill in the whoel screen (the movie was a 2.3:1 image, so they blew it up until it completely filled the 16:9 ration). I asked them to turn the zoom off, and they did, but the image was still funny looking - the image looked clear, but had a wierd "feel" to it. It didn't loko very film like.
Hopefully, this was a problem with the set-up and not the technology. I hear its going to be better and cheaper than DLP.
