Another option is your computer. With free software, a good 1080P TV and a reasonable graphics card, you can beat the set top upscalers easy. With SD material (DVD, 480P), you can decode the stream, apply sharpening and noise filters and upscale to your panel size with minimal hardware. If your CPU is really weak, you can offload decoding and upscaling to your video card should it support the h/w acceleration. HD material at high bitrates is another animal and requires pretty serious h/w if your post-processing.
As and example, one of my HTPC boxes has a middle of the road AMD X2 with a 4-generation-old ATI HD2600XT and I've got plenty of headroom for resizing and sharpening filters, CPU/GPU barely break a sweat on SD material.
This is connected (HDMI) to an LG37 1080P TV that accepts both PC and TV video levels.