If you have an Apple TV and you're tired of transcoding your media to H.264 you owe it to yourself to check out boxee and XBMC. They take the Apple TV to the next level allowing it to play video in AVI, DivX, XVID formats and even stream content from the Internet.
Apple TV content is still playable but the Patchstick adds a whole new world of functionality and social elements to the platform. This YouTube video by Dave Mathews (no relation) show you how to set up boxee on your Apple TV. All you need is an Apple TV, a quality USB flash drive, then simply follow the instructions here.
Tip: Stuart Pomerantz