Some time ago I wrote about encoding video files to suit both the AppleTV and Sony’s Playstation 3. It was a bit of a painful task back then, but now, it’s pretty simple.
First, install Handbrake (if you haven’t already)
Open your video file or DVD, open the presets in Handbrake, and choose “Regular -> High Profile”.

This preset will encode an MP4 to suit both the AppleTV and the PS3. Note that you will need to ensure you set the exported file name to .MP4 (will possibly be .m4v by default)
No other changes are required to the settings! The exported file will suit playback on AppleTV and on PS3.
One thing I noticed is, that when playing back using XMBC on the AppleTV, I can get the Dolby Digital audio track to work. But I cannot get the PS3 to find the same audio track, therefore playback on PS3 is stereo only. (does someone have some tips for getting this working on PS3?)
I recently bought a Sony PlayTV. It’s a device that plugs in to your Playstation 3 and allows you to record television to your PS3. You can then export the clips to the cross media bar, and transfer them to your computer. The files are mpeg2 (m2ts) and play fine on the PS3, but what about the AppleTV? Or importing them to iTunes? Enter MPEG Streamclip.
MPEG Streamclip is a free app that converts several types of video files into different formats.
I wanted to be able to play my files on both the PS3 and the AppleTV, so I created a preset that looks something like this (exporting to MPEG4)

My file is roughly half the size of the original source, looks good, and plays on multiple platforms. win!
Apple have released 2.3.1 for the AppleTV, no news yet on what it actually does, we’ll find out soon! I’m really far behind on my updates, just don’t want to touch my hacked ATV!
So 2.1 came out not long ago, infact not long after iPhone 3G, the app store, and the brilliant “remote” app for iPhone and iPod Touch.
“remote” lets you control your iTunes or ATV remotely, very cool. While I haven’t yet upgraded my ATV to 2.1, I’m looking forward to it! Makes you wonder what other cool tricks are planned for ATV and iPhone/iPod Touch!
Here are link’s to the Apple TV’s update images. These can help with hacking your Apple TV, or if you just want to keep them safe somewhere:
1.1.0 – 2Z694-5248-45.dmg
2.0.0 – 2Z694-5274-109.dmg
2.0.1 – 2Z694-5387-25.dmg
2.0.2 – 2Z694-5428-3.dmg
The combo updated which contains files that assist with Apple TV hacking. Note: I believe Apple have removed some files from this update that makes hacking the Apple TV a little harder, to be confirmed.
MacOS X 10.4.9 Combo Updater