I've found yes, lower end projectors aren't bright enough for home theatre, but I've also found most retailers do not stock high end models with higher ANSI lumen ratings. If you see teh models with 2000+ lumens, they're pretty much as bright as a DLP tv given a proper screen surface.
I've been eyeballing this model from Toshiba
http://www.toshibadirect.com/td/b2c/pde ... id=1291021
"Packaged in a small form factor (6.2 lbs), the high-performance TDP-T90U Series features DLP technology, 2,200 ANSI lumens, native XGA resolution (1024 x 768), and a 2000:1 contrast ratio to deliver bright, captivating images that can go anywhere, anytime. It's innovative new design includes a host of multimedia capabilities and connectivity options such as composite, component and S-video inputs, audio in/out capabilities, and a special monitor output connector that allows users to view presentations from an external display in addition to what is projected on the screen.
The Toshiba TDP-T90U Conference Room Projector supports TV (NTSC, PAL, SECAM), HDTV/DTV, DVD, and RGB signal inputs. Input terminals include 2-video (1-RCA, 1-S-Video), 5 audio (1x stereo mini-jack, 2x RCA for Video, 2x RCA for S-video), and 2 RGB for multiple input sources. Automatic Digital Keystone correction (+/- 15 degrees) is also supported."
But to each his own.