That's a feature I don't really desire, so I don't have a lot of experience with it. However, if you point the egreat to a DVD ISO, it will play it (including the menus) over the network. I'm not sure the same can be said for a video_ts folder, but it would make sense.

If you hook up a USB DVD-ROM drive to the egreat/Popcorn Hour, it's apparently usable as a standard DVD player (with 1080p output).
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-Rob Riccardelli
80GB 16MB MK2 090000736