Greetings Greg,
Hard to say without seeing what it is they are seeing. You previewed the disc before handing it to them, correct? So what you saw on your Samsung should be what they saw.
If I was in your position, I would want to see it on their TV/laptops to in order to take out the chance of misunderstanding, because what they call “pixelated” could mean different things. (Do they mean banding like one would see it picture was over compressed? Or is it pixelation of details? Some people use “pixelated” as a catch-all)
I have doubts that interlacing is the issue, but no clue as to what it may be other than that a (standard def) DVD was being played on a largescreen plasma by way of a less than great upscaling through the DVD player. What was the DVD player and how was it connected (HDMI, component, composite, S-Video)? That is something else I would want to know. That doesn’t, however, explain the laptop performance.
Mike Barber