The picture quality is DVD quality at best and no where close to HD.  This is because ESPN3D uses the “standard” for 720p 3D, splitting the 720 horizontal lines (360 lines for the left eye and 360 lines for the right eye) to broadcast in the same space as their HD image.  It’s basically a 1280×360 progressive resolution.

I’m surprised there isn’t more negative feedback on the forums, blogs and such on the “not even close to HD” picture quality.  I did find this, but not much else.

On the positive side, with FIOS, using my 7MC with ATI CableCards, I was able to watch a 3D broadcast on my Xbox 360 Media Center Extender!

Two side notes:

• The FIOS ESPN3D broadcast is TnB (Top And Bottom).  I had to manually change the 3D settings from “Auto” to this in my Panasonic P58VT25.
• ESPN3D review in this EngadgetHD article, though there was no real feedback of the picture quality
• 3D channel resolution / format specs on DirecTV, who currently carries three standard (non PPV, non On Demand) channels: ESPN3D, N3D, and 3DNET