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Technically, your right. You cant say there isnt any scaling. The reason people say 720p anyways, is because scalling from the 800 to the 720, is very very very small. Downscaling from Full HD your going from 1920x1080-->1280x800. Now thats a big leap. Upscalling from 800x600 or even a native 1024x768 up to this 1280x800 is also a pretty big leap. But 1280x800 to 1280x720 is next to nothing.The 40 native downscaling on the height is not going to noticeably affect the image quality. But again, thats a whole different story when your upconverting from widescreen 480p (853×480) of regular DVDs to 720p 1280x800 (800) of this projector.