I just got a new Panny 4000U HD projector (truly a superb piece of kit) and after setting it up I ran one of my MKV files from Handbrake into it. At first I wasn’t super impressed with the image, but I kept feeling there was something wrong so I played a reference blu-ray and the difference was apparent (and drastic).
Investigating I found out that leaving the Live at HDMI(Auto) (where it picks the resolution and color space) was the culprit. Setting it for 1080p 60Hz and High Color solved the problem.
There is some handshaking that goes on in HDMI, but in this case my projector (which was receiving output from my AV Receiver) and the Live were obviously not communicating properly. My own advice after this – don’t rely upon the auto mode of HDMI unless you either aren’t sure of your device or your device will be changing output. Set it for the correct output and high color space and the output will be MUCH improved (it was the difference between mediocre and stupendous).