There's plenty of places that go under 8 dead pixels. That's why Newegg says they'll only take a monitor if it has 8 or more...they're expecting you to harass the manufacturer and not them regarding dead pixels, since manufacturers will usually have lower ones. Remember that what you see is almost always a sub-pixel defect and not a whole pixel one (though whole pixel defects, i.e. 3 sub-pixels all burned out side by side, do exist, just very rare).
A partial list is:
Amptron: Maximum 3 bright, 3 dark, or 5 total sub-pixels. Also has adjacency criteria (no more that 1 set of 2 or 0 sets of 3 within 10 mm), which incidentally means no whole dead pixels (of any combination of bright or dark subpixels) are allowed. This is the company I used to work for, so I'm biased on this one. What's funny is that until I came along, they were still selling their monitors under a 5-5-8 policy, since that was considered pretty good when they started selling LCD monitors in 2000. But for the past like half a year to a year before I came, their manufacturer had been guaranteeing 3-3-5 (which is why they can offer that policy), and they just never thought to update the website nor the warranty card. I pointed out that if we were internally offering A Grade panels to the stores, why didn't we make it public? It was like a car company saying their car goes 0-60 in 6 seconds when it really gets there in 5. The salespeople were not amused about this. It was quickly changed to 3-3-5.
CTL: I have to admit, these guys have one of the best dead pixel policies. Even better than Amptron's (heh). For them, within the first 30 days, they will replace a monitor if it has any defective pixels or sub-pixels at all. After that, for 17" and below, they allow 1 bright whole pixel, 1 dark whole pixel, or 3 sub-pixel defects max, and for 19" and above, it's 3 bright whole pixel, 3 dark whole pixel, or 6 sub-pixel defects max. So just be sure to stress out your monitor in the first four weeks.
Dell: 6 "fixed pixels" max. No idea if they mean whole pixels or sub-pixels. But Dell's customer service is reported pretty good, meaning you can have less than that and chances are likely you can still get a replacement. This happens with other manufacturers too but Dell by reputation seems to do it more.
HP: Other than Amptron (and CTL), I think HP has one of the best listed policies, more so especially since they're brand name. It's 3 bright, 5 dark, or 5 total sub-pixel defects max. Like Amptron, they also have adjacency criteria, and thus also don't allow any whole dead pixels of any type.
ISO: Anyone that's ISO 13406-2 compliant must replace a monitor if it has more than 2 whole bright pixel, 2 whole dark pixel, or 6 sub-pixel defects. This is for 17" and 19" monitors only, the number really jumps up once you get to higher resolutions. Guys that are ISO-compliant include Apple, BenQ (I'm still looking for where they say they're explicitly ISO-compliant but they talk a lot about it on their site, so I assume they are), Ilyama, NEC, and many others. If there is anything close to a standard, the ISO is it. Too bad that the standard sucks now; while it was impressive when the thing came out in 2001, many manufacturers do better than them nowadays.
Viewsonic: 7 total sub-pixels max for 17" and 19" monitors.
The other "name brand" monitor companies that I didn't list either have a worse policy than 8 or I haven't found theirs yet. That's right, Samsung is part of that list (9 max). So is Hyundai (also 9 max). I could go on and on.
I don't have time to look up the Dell monitors' specs right now (about to go out). But if the 1704FPV has pretty good viewing angles (i.e. 85 or 170 degrees, however they report it) then it might be that it's an MVA panel. MVA panels tend to be slower but have higher contrast, better viewing angles, better colors, and more expensive. They're usually not on 17" monitors though. If a monitor is 16.2M colors, then it's a 6-bit monitor using frame rate control, while 16.7M is "supposed" to mean 8-bit but manufacturers have found ways around that, so you'll have to read carefully when they say it's 16.7M. Is it going to make a difference? I don't think so, unless you're a professional photographer or something. I have a laptop whose screen I thought was 8-bit (16.7M) for over a month, until while looking into this matter, I found that it wasn't 8-bit (16.7M) and not even 6-bit with FRC (16.2M). It was a regular 6-bit monitor using regular dithering. Surprisingly, it passed those color shading tests that were supposed to out 6-bit monitors...they were perfectly smooth to me. The one it failed was when I tried to see if it could display the brightnesses 253, 254, and 255 (it couldn't). So if you got a 6-bit monitor, use it for a while to see whether or not you can tell the difference. I personally think they have somewhat of an unfair reputation because 6-bit monitors are cheaper (less circuits needed) but they usually have faster response times.
Sources:
Amptron:
http://www.amptron.com/html/warranty_user.html
CTL:
http://www.ctl.info/v2/info.aspx?hdr=Support&ContentName=PixelPolicy
Dell:
http://support.dell.com/support/topics/...ument?dn=1018431&c=us&l=en&s=dhs&cs=19
HP:
http://h20000.www2.hp.com/bizsupport/TechSupport/Document.jsp?objectID=c00288895
Viewsonic:
http://www.viewsonic.com/support/qa.cfm?topic=lcd&question=01
6-bit vs 8-bit test:
http://www.amptron.com/chuck/bittest.bmp