DLP has better contrast (i.e. better blacks) vs. LCD. However you really need to watch a DLP set for a few hours before making a decision on a HDTV -- some people see 'rainbows' when watching the screen! This can occurr when you move your eyes very quickly from one section of the screen to another.

To see a demonstration of the 'rainbow effect' that some people see, click here

Unfortunately I see rainbows, otherwise I'd have a DLP set in my house.

Be aware that DLPs do have a revolving color wheel which is a moving part -- I will give LCD the edge here -- no moving parts. However, as far as picture quality goes, DLP has the edge IMHO.

I would consider waiting for Sonys new SXRD technology this Fall. It's supposed to be pretty impressive, and no moving parts, and no rainbow effect.