Finally, someone gets it! I wasn't talking about the specifications of 1080i versus 720p, but the actual 1080i displays people are using. These 1080i sets that people are complaining about, aren't the latest 1920x1080 native resolution sets. Those sets are brand new. The current 1080i sets that are causing Sony a headache are not displaying true 1080i images. They're displaying downscaled 1080i images to fit the image width of the display. Kyleb's suggesting an average sort of 800x1080 resolution. So in the argument of whether 720p is better than 1080i or not, bare in mind that 1080i is not 1920x1080 resolution because no 1080i set has 1920 horizontal lines. Any TV that has 1920 horizontal lines supports 1080p! Thus, when folks were sold those HD sets, there's an argument that they were diddled as those sets aren't capable of displaying 1280x720 pixels or greater, where 1280x720 is the smallest resolution of an HD image.Actually, what Shifty is getting at is the fact that 1080i display don't resolve anywhere near 1920 horizontal rows of resolution. Sony's SuperFine tubes were advertised as displaying about 1400 rows and the standard 1080i tubes average a mere 800 rows, but those are just average values as phosphors are not contained to fixed pixels and hence the effective resolution varies with their intensity.
Or illustrating it another way, if there's a CRT with 1080i vertical lines and 300 horizontal lines in a 16:9 aspect ratio, and a 1920x1080 image is displayed across it, is that an HD display? Or would it look like poo? 1080 interlace vertical lines isn't enough to constitue a real-world HD format. You need a suitably high horizontal resolution too. Sticking an HD label on such a TV would be diddling the consumer who bought it. Then if that TV also can't display the HD image standards from a console, some might say 'well it's hardly a real HD set is it, and you were a chump to have bought it.'
As I said before, it's all a mess of standards and salesmanship and balls-upped support for the mess of consumer devices that Sony did help contribute to.