only 3 gb space left, Apple TV freaking out

I have had to restart this thing more times in the last week than I have in the past year. Trying to sync for hours on end, and now it won't connect. I am trying to clear some stuff off it, but would it being this full have this much of an effect on it?

okay, I like having all my music and tv shows on there as otherwise I get lag and delay issues from my Drobo to my Apple TV, but this is not working. It just decided to erase all my photographs and is reinstalling 4630 things?!?!?