When I first saw the presentation of this last year, I was not terrible impressed.
But I've been looking for a device that would connect to the TV and allow me to play XVid and DivX files. I would upload the files via ethernet or wifi and I would have a small interface on the TV to play them.
Right now, the Apple TV does most of what I want. I don't expect support for DivX or XVid anytime soon, so we will need to do some transcoding, but as long as we can do it, I think I found my box.
We'll see. Should be available next month in the US, must check availability in Europe. Not a lot of market in Europe without the TV series in iTunes EU... ;)
Update: Wills commented about the DP-558 of Kiss Technology. Excellent feature set, it really has. But it's â¬499, so I'll wait a bit before commiting. The ï£¿TV as a target price of $299, with less features, but better integration with my current hardware. We'll see.