I guess I should answer your initial question and say I watch my DVDs on my computer, which has no overscan obviously. You are correct though, watching these on a regular 4:3 television, one would not be able to see the side borders. The Dr. Gonzo set has borders on the sides like this, and I do find it a little annoying watching it. So I guess what I'm saying is the way I watch movies, overscan isn't an issue and I would opt for the larger picture image of a full 720 pixel width.

On the flip side, all people who watch movies on a television are subject to overscan. Personally, if I had to choose between lost information on the sides and a larger picture, I'd still choose a larger picture.