I just updated to the new vudu firmware (BD.8.08.526.B), mostly in hope of improved playback (not vudu itself)...
it's a big step BACK.
NONE of my MPEG2/MPEG4 video files will play back now: they all say "unsupported audio codec". This did NOT happen before the firmware update.
DIVX & MKX files that worked before (incl ffwd/rew) DP still work fine, which is good...
but all my AVCHD camcorder files, HD MPEG2 HDV camcorder & Tivo HD MPEG files, are now broken.
Audio codecs include MPEG Layer2 (for HDV MPEG2), DD 5.1 (AVCHD, Tivo HD files), DD2.0 (DVD MPEG from DV AVI), etc. All worked before fine.
NOT happy!! (Reproduced this on both PC CIFS streaming & USB playback.)
That said, the update apparently fixed my ffwd/rewind hang issues on two BD titles, Galapagos & Earth: The Biography.
Don't know if it fixed for video files also, since they don't even play back now :-(
Update (noted below): reverting back to .498 firmware (downloaded from website, update via USB) and the video playback works as before.