All my media files are AVI, so that is a moot point. I really don't care about the difference between 1080p and plain DVD quality. Also, Hulu only supports up to 480p, which is where most of this machine's usage is going to come from when it's not pulling movies from my iMac's Hard Drive. But thank you for making the point you have already posted in three other replies on this thread, that was quite nice of you.