It is absolutely true. I went to the home of the CEO of the company I was then working for, a mansion that he had purchased from a major leauge sports star, to set up a computer system so that he could dial in to our network. (Which he never did, naturally.) While I was there he showed me the home theater(s). The main theater had a front projection system and four 32" televisions in wall niches for his version of "picture in picture", plus DirecTV, VHS, LD and DVD. (Which was then still pretty new. TiVO and similar PVRs didn't exist yet - if they had - he'd've had one. All of the equipment was brand new. the sports star had actually taken his gear (except the in-wall wiring and the external security cameras) with him, but before he moved our CEO's assistant had gone through the house and recorded the make and model of every component, then had a local A/V dealer recreate what had been there.
The CEO demonstrated his system to me by showing me a VHS movie stretched to fill the 16:9 screen. He didn't own any LDs or DVDs yet. He had a lot of trouble with the laptop-sized touchscreen remote, which probably cost more than my condo and everything in it. He had other HT setups (with more modest 4:3 RPTVs) in the family room, the kids' playroom and the master bedroom.
Anyway, that's what I thought about when I saw this cartoon this morning. I was also going to post it if someone didn't beat me to it.