A lot of it depends on the quality of your tv...720p in some cases looks better cause its the entire image projected each time...but at a lower res....1080i obviously is only half the image projected each time...but at a higher resolution. If you're torn between the two...I always go with the progressive image...just prefer it...smoother in my opinion.
the general advice is to set your 360 to the native resolution of the TV so if you have a 720 set that excepts 1080i signal you might aswell set the 360 to 720 as the 1080i image is just downscaled or converted anyway.
When comparing 1080i and 720p, the one to choose is truly best done individually. A lot of people prefer the smoothness of the 720p, while others prefer the higher res. of 1080i. Try both in different types of games and see which one suits you best.
On my Xbox 360, does 720p actually look better than 1080i but fills the entire screen at the same time?tjoeb123
It really depends on the display. Interlaced will not look as good for gaming on an LCD TV as progressive scan, even with the greater resolution. You may find you get a clearer pucture with less blurring at 720p.
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