According to what I've readed so far there's no downsample for analog transmission.
This means that you can see your BD.DVD with a component cable up to 1080i without trouble.
Higher resolutions, however, are been restricted... the meaning is this:
There's a new toy everyone's interested, that boy is the next standard into digital home media video interface protection, or "HDCP".
To get specifics and codes (and, uh, a signing key) for HDCP you've to accept an agreement, called "analog sunset" or something like it.
With "AS" your society state that they won't do other analogic media or formats for video in/out.
So this means that everything you're going to get in the future is only digital interfaces, no more SoG, no more Y-Cr-Cb, and no more analogic interfaces (why ? because anyone could catch a grabber and rip an high definition analog signal...).