Diggs,
I'm not sure I'm familiar with the "zektor switch", but using Apple's cords that output component or composite video out of the iPhone, I'm pretty impressed with the video that I get (usually watching on a 32" BV8 or a 50" Samsung). At home, I use an Apple TV connected to each individual TV and I'm impressed with the picture on the B&O TV - it seems better than that on my other TVs and I attribute this (maybe wrongly) to upscaling inherent to the B&O TVs.
We have a couple of places that we routinely vacation, and I'd contemplated hooking an Apple TV up to these "away" TVs. However, I've found the iPhone a very suitable replacement. On our "away" TVs, I use Apple's aforementioned iPod / iPhone video cables as well as a small dock. It works great. I was at the beach a few weeks ago (not our place, a friends) and watched a movie from my iPhone on a very large plasma (had to be 60"). The quality was suprisingly good - about DVD level on a TV like that. The interesting thing was that the HD satellite feed coming in to the condo units had been so split up that the iPhone outperformed the satellite's feeds despite the fact that they were technically 1080i (or whatever HD output).
Also, just as an aside, if you have small kids and a LCD system in your car, the iPhone can connect to the Aux input of your in-car LCD / DVD system and negate the need to carry physical media around. I've found this to be so very convenient.
Mark