LCD ("Liquid Crystal Display") projectors contain three
separate LCD glass panels, one each for the red, green, and blue
components of the video signal. The pixels in each panel contain
a liquid-crystal material that regulates the amount of light
passing through them by twisting and untwisting in response to
electrical voltages. After exiting the LCD panels, the three
colored beams are combined by a prism and projected onto the
screen by a lens.
DLP ("Digital Light Processing")
is a proprietary technology developed by Texas Instruments. It
works quite differently than LCD. Instead of having glass panels
through which light is passed, the DLP chip is a reflective
surface made up of thousands (or millions) of tiny mirrors. Each
mirror represents a single pixel. To define color, a color wheel
is used that contains (at minimum) a red, green, and blue
filter. This wheel spins in the light path between the lamp and
the DLP chip and alternates the color of the light hitting the
chip from red to green to blue.