Nope. I think we'll have to wait for MediaPortal 2.0 for that but I have no idea what scaling algorithms will be available.Since I just have currently the same problems as the thread creator, I am glad to have finally found this thread.
I was able to solve my graphical problem with ffdshow, so the picture is nearly perfect.
I use still MePo 1.2 and asking me if there is in MePo 1.7 are now a solution for this problem?
Is there any way of changing the scaling algorithm now?