The latest generation of microprojectors would make more sense than really big displays. Imagine buying something roughly the size of an AppleTV or Mac Mini which also is the television - you just point it at a white wall or sheet or screen for a nearly arbitrarily-sized screen.
I use a projector tv at home now but it's a pain to configure because it's designed to work with too many kinds of input. Integrate a more compact and elegantly designed projector with iTV, make iPad and iPhone your control surfaces but download content from the cloud - it could work. And unlike the big flatscreen, it'd be easy to take to the Apple Store for service/diagnostic if need be.
To try to give you some context, think back to 2005, and question 'how can you revolutionize a phone? It's just a speaker and a microphone'. Of course, there had already been inroads into making your phone much more than a phone, just as set-top boxes and other connected devices have added capabilities to your television.
I don't think we'll see a 'rebirth' of television so much as we'll see television joining mobile, tablets and computers in the middle.
Really, the revolution of the phone was making it more like a computer, but more portable. The revolution of the television I suspect will be the same, but less portable. Just like the portability of the phone expanded the things we used our phones for, a less portable large screen product could expose similar capabilities.