My setup includes:
65" Rear Projection CRT with Component, Composite, and S-Video
Desktop computer with some kind of old ATI All In Wonder card with s-video hooked up to the tv.
All of the videos reside on an ubuntu smb share. Playback with vlc.
The tv and the computer are at right angles on an inside corner so watching tv from the computer chair sucks. It's set up so we can watch broadcast tv on the computer, tv or both. Video from the server can be watched on the tv, computer, or both.
Works great for everything except hd due to a) old playback computer, b) old tv, c) network lag (permanently installed cable limited to 10 mbps, permanently means in concrete)
Lack of hd notwithstanding, it's fine. I never jumped on the hd bandwagon, and besides, what is hd going to do for Family Guy, Futurama, and Southpark anyway?