Check the h.264 profile used to encode it. The standard in low powered devices is Profile 3.1 (or Main Profile). The higher profiles are more computationally intensive to decode but produce better picture quality at the same bit rate. If you have media that isn't playing smoothly, consider re-encoding it in a lower profile at a higher bit rate.
It is encoded in 3.1 using handbrake even tried ajusting some of the advanced setting, nothing seemed to mae the video play smoothly
TV, and the result was the same with 720p content too: some stuttering over wifi, not stuttering when wired. I have a pretty robust setup, so if Apple wanted to build for the "masses", they probably shouldn't embrace 720p either, as it too seems to be able to push beyond the limits of wifi in some cases. Clearly, neither camp seems to want that though.