Haris, a developer would have to be a moron to make games only for a 16x9 set. I think that much to the dismay of many on this board, 4x3 sets will be in the majority for years to come(atleast in the US)simply because of the large installed base. Having said that, if they did ever create a game soley in 16x9, they could always include a letterbox mode for a 4x3 set.
If it is solely for gaming, that leads me to think that you can be a little extravagant with your purchase , in which case I would suggest a 16:9 set. True, the majority of games are 4:3. However,
Most look great in a stretch/zoom mode
You can still play in 4:3 mode.
The 16:9 games are just fantastic. Dead or Alive 3 is damn near a religious experience when viewed in 16:9 480p.
A lot of it comes down to which would be the bigger trade-off for you: viewing 16x9 on a 4x3 set, or viewing 4x3 on a 16x9 set. No matter what, make sure you get a 480p capable set. Personally, having gone 16x9, I'll never look back.
Two days ago I bought an X-Box and a new 32" JVC D-Series TV and I am amazed at the picture quality! This is a very great combo for ~$700. I was planning on getting the 32" Samsung HDTV but being a college student and just buying an engagement ring, I just could not justify spending ~$1200 on a TV alone. I'm sure the picture would be a lot better, but the current picture just blows me away!
What took me so long to get an X-Box??!!!
I understand why Xbox games look better in 480p, but why do they look better in 16:9? Please understand that I am stuck with a plain old regular TV that can do neither, which may explain my ignorance ...
I don't think the question can be answered without stating a max budget for the TV. I'm sure if we all had $5000 lying around, we'd all put an Xbox and a Pioneer Elite RPTV in our homes (or maybe a nice plasma).
Of course, in my real world budget limited situation, I chose a 32" Toshiba non-flat tube to put in my bedroom with my Xbox and Gamecube.