except for a few rare games, the native resolution for most games is 720p. If you let your PS3, it will choose to output the games in that format, without upscaling. While many people play the games upscaled to 1080p without any problems, you will occcaisionally hear horror stories of alising defects, red/blue scramble, pixelation, and even transient screen blackouts when upscaling. (FYI, these complaints are common to both the X360 andPS3 when set to upscale all games to 1080p.)
I seem to remeber reading an interview with the head of Insomniac where he states hat locking in at 720p and 30 fps is the "sweet spot" for tis development cycle. Paraphrasing what he said (and what I remember) it was something to the effect of creating complicated games that run in higher fps or higher resolution would need alot more resources and very few consumers would notice the difference.
As has been intimated before, if you force your system to output only in 1080p, that will fix your issue. If you see any of the above mentioned wiredness, try going back to 720p and see if tha helps.
Oh, and if your screen is less than 50 inches or so, you are really unlikely to appreciate much difference between 720p and 1080p...I'm just sayin'
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