I've owned some of every TOS home release since the VHS days, including the new Blu-ray releases. No one need preach to me on the differences in picture quality (I'm a Blu-ray and HD-DVD early adopter). But it doesn't mean that Next Gen, as is, can't be watched and enjoyed on current home theater set-ups.
I have to disagree with you here, BillJ. I'm also a home cinema enthusiast of many years standing. Like you, I've owned TNG in many home video formats from VHS to Blu-ray (LaserDisc as well!) over the years. In my dedicated home cinema room I'm watching on an extremely large screen - and to be honest, TNG is horrible, just horrible. Artifacts, smearing, fuzziness etc. I always have to switch overscan back on just to remove the varying array of artifacts that plague the majority of episodes at screen edge.
We have a quality 50" PDP upstairs, on which I now watch most of my TV content - but even on that monitor, the problems are clearly evident.