Need suggestions for wireless keyboard/mouse & TV setup

I went to Fry's and picked up the Logitech Cordless Freedom Pro (keyboard
and mouse, which work perfectly, with no driver dependencies). I also
found several external devices for sending my VGA output to a TV and
picked up one that looked relatively decent. Unfortunately, even at
640x480 with S-Video, the quality is horrible and text is almost
completely unreadable. So my next question is, has anyone had good luck
with video cards under Linux that have S-Video output to a TV? I'll go
ahead and buy an internal card if it will drastically improve the quality,
but if not then I'll have to give up on the TV idea and just buy an LCD
screen to set on my coffee table instead.
Thanks for your help.
~M