This is a review I saw from bestbuy website:
"WD hit the bullseye with this product. I have several failed DMA's sitting in my closet and this thing worked flawlessly with every movie format that I've thrown at it: MKV, H.264, DiVX, XViD, MPEG2/4, MOV, .ISO, .VOB. I even hooked up my Flip Video Camera and IPod and it worked! It doesn't get any easier than this.
The one thing I would like to see in the next version is a hard drive built in so I can keep a master media library stored locally."