I appreciate the answers!
But, I can definatley tell the difference between PC and DVD player...
I couldn't take a screenshot, doesn't seem like WMC allows people to do that..
An example of what I mean is a white wall. In this one particular movie, the wall seems to be static-ish, as if there were small moving dots... I don;t really know how to show you, but there definatley is a difference.
Even using WinDVD I can tell that there is a difference..
Here is a screenshot using Windows Media Player and the K-Lite Codec Pack.
Its not as bad as WinDVD, but its not far from it.
Please notice areas such as her arm, where the distortion is most obvious.
This is a copy of a DVD, shrunk to fit on a DVD SL disk, however, it plays back beautifully on my Standalone DVD player. (Im not sure what upconverting is, but it definatley doesnt support it; its a 40 dollar DVD player from walmart)
*Please note that the screenshot is the same quality as the DVD; there is no quality loss due to the screenshot (.PNG image type)