An optical polarization state modulator assembly for use in a stereoscopic three-dimensional image projection system includes a spatial light modulator, a light source emitting multiple wavelength components of light for incidence on the spatial light modulator, and a projection lens. A polarization converter system cooperates with the spatial light modulator to produce in alternating sequence polarized light carrying first and second perspective view images of a scene in different ones of first and second subframes. A polarization modulator, in response to first and second drive signals, imparts to, respectively, the image-carrying polarized light a first output polarization state during the first subframe and to the image-carrying polarized light a second output polarization state during the second subframe. The image-carrying polarized light in the first and second output polarization states propagates through the projection lens for transmission to an observer.