I'll throw in my yes also. It's not just resolution you'll see a difference in, the colors are much more vibrant on Blu-ray. As John pointed out, there are some exceptions of bad transfers but the majority are excellent. In addition to lighting and TV calibration, maybe the PS3 wasn't setup to output 1080p (requires HDMI for 1080p, component is limited to 1080i in case you weren't aware). Something to check anyway.
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