The other day I saw that the Dell M109S projector (amazingly small, but not really a "pocket" projector) was (is? perhaps still) available for somewhat less than $400. Since that's in line with a low-end LCD television (something I've been considering), I am intrigued. My room is small and dim, so I might just be the ideal customer for it
For watching DVDs, hulu videos, non-critical slideshows to friends at bowling, the "dailies" at family reunion, etc, I suspect that this would be of sufficient resolution.