If you are using the Component Cables make sure the switch on the
cable(part that you insert into Xbox 360) is set to HDTV and not TV
because if its set to TV, no matter what resolution you choose it will
go back to 480i.
If your using HDMI cable make sure that your TV is also outputting at an
HD resolution. Like okay let me explain this more clearly I'm not sure
on Sony HDTV's but we have a 46" Sharp Aquos HDTV LCD. I found out that the TV itself was still set to
output at 480i even though the Direct TV receiver was set to HD so I
went to my TV's options and changed to output the TV at 1080i then after
that everything was clear because both the receiver and the HDTV was
outputting at HD.
That maybe your problem. If your 360 in the settings menu is saying its
at 720p and your TV still looks long, maybe your TV's Zoom options are set to Stretch or Zoom, so basically you need to change your TV's options
to output at Normal.
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