Flat panel LCDs may have the lion's share of the attention when it comes to HD viewing, but for the best theatre experience a projector is the only way to go. Prices on 1080p projectors have tumbled in the last 12 months, and with the Olympics and other big sporting events on our doorstep it makes a great time to invest. Plus, we've heard they work pretty well with movies, or something.
Of course, you'll probably need a couple more things to watch TV and movies on these, such as a set-top box and a projection screen. So factor in this cost when looking to buy.