Help! Sony rear projection LCD connected via HDMI display issue

One thing you need to understand about a rear projection TV is that you are not looking directly at pixels when viewing them. You are looking at a screen onto which pixels are being projected. As such, there is an optical system between you and the pixels that generally consists of lenses and mirrors.

An optical system will always have a little bit of distortion to it, hence it is virtually impossible to get the actual pixels of the engine to project edge-perfect onto the screen in the same way as a direct view LCD TV or plasma are edge-perfect. For this reason (and other reasons), rear projection TVs are all set to overscan to some degree or another, meaning some of the four edges of the video feed are sacrificed and the TV cannot be made to display native whereby the full resolution of the engine is displayed on screen without some form of scaling, meaning blurriness.

The Sony should have a size setting I believe. Usually it is like normal, 1 and 2 or something like that. Try playing with those settings and see if you have any luck when used in combination with the mini's overscan setting.

I refer you to a couple of posts over at the AVS forum that might be helpful:

http://www.avsforum.com/avs-vb/showthread.php?t=751713&highlight=sxrd

http://www.avsforum.com/avs-vb/showthread.php?t=695206&highlight=sxrd