it basically has no problem playing any mpeg4 type at 400x240... that size means its displayed exactly 4 times on the screen. More than enough for a 4,13" screen... I use 768 or 1024 kbs for that size, but i tried 1800 without that causing any trouble. For conversion i use imtoo 3gp ocnvertor and the divx profile it has... im sure there are better apps, but the output quality is nice, its fast (on my computer, converting for my cowon d2 is about 2x speed, psp is about 1x speed, n800 is 3x speed) and i already had it installed.