just for the record, I have a [semi-broken] acer n311.
400mhz cpu, 64mb ram, 640x480 resolution. close enough to my n800 (OS2008).
I made a simple test: ran the same file on both computers:
1) on "normal" video quality, the n800 is *a bit* better; video extremely laggy on both.
2) when reducing the quality to "low" on the TCPMP, my acer plays the video smoothly (with a bit lower quality, but more than acceptable on the VGA screen). I haven't yet tried the command on my n800.

I will post the comparison on youtube for you to see.