You should be fine, it looks wonderful on my 1080p tv, but ipad is probably sending 720p for it's screen pages, interface, Internet. It looks great! Only some movies will it put out at 1080p. Your tv should be great.
It output my movies in widescreen, but most iPad screens and Internet is 4:3 still it looks beautiful, Angry Birds flying across my 52"er is so fun!
I consider this feature a great one on the iPad2.