As we have learned with Crysis 2, on PS3 and 360, the game can look worse when scaled out to 1080p and even yield in slightly less frame rates. Remember, with titles like Battlefield 3 (720p), Crysis (720p), Rage (720p) and probably probably Skyrim as well...set your consoles to 720p if the game is only 720p. Because games that are sub 1080p, or even sub 720p like Halo 3 and Reach), only look that much worse scaled upward. Especially with the PS3, since it does not have a dedicated hardware scaler and uses software scaling. It's a pain but things do actually run and look Slightly better, closer toward native resolution.
Also, these aforementioned games are also using texture pop-up effects to reduce memory consumption, which looks crap when it takes 2 seconds to load a texture onto objects at first, or even, second glance. It has been proven on the PS3 that this is partly due to streaming of textures from a hard drive (cache / virtual memory), so some PS3 users have begun using solid state drives (SSD's) in the PS3, to reduce pop-up texture latency, as found in Rage (Youtube it) The closest we 360'rs can get, is via a fast USB thumbdrive, perhaps, the Kingston R400 / R500 Data Traveler. I will be ripping and installing my most played, graphically intensive games to that.
Note: Bandwidth isn't faster in doing this and therefore, loading can be slower, as HDD interfaces are faster in terms of bandwidth, however latency is much more "on demand" when it comes to texture stream requests via solid state, since there are no moving parts and it is essentially memory...for current SSD's it's the same story but they seem to help games on the PS3 immensely. Now come on Microsoft and give us larger USB support than a total 32GB's (2x16GB drives).