I tried it with two video files: a .VOB file (decoded from a DVD with DVDdecrypter) plays fine (at least the 30 second preview, I don't have the time to encode Kill Bill 2 entirely). A Divx file (Lord Of the Rings, extended edition), which I "found" , appeared to encode well, but could not be played on either the PC (Windows Media Player) or on the 770. Both gave a generic error. With the previous version of Media Converter I could encode Divx files without any problem (although the ones I had for my SE P910 were a bit grainy on the 770, they played flawlessly after passing through MC). As I am converting most of my old VCR collection into Divx files, not being able to convert those to the 770 is a bit of a problem for me.
How do you get the audio and video to sync? I'm finding that with the 770 video plyer it's way out and with mplayer for the 770 just a little out. I'm using wmv files. Is there a setting in the interface for this?