These people may not know what DiVX is, but many are watching them anyway. Probably more so than H.264. Do people know what CDMA and GSM mean? But mass population carries cell phone anyway.
You sort of proved my point. The mass population doesn't care what video format its , just that it looks good and they can get what they want (content wise). It's only use geeks that care about divx.
This is exactly why your average joe puts mp3's on his ipod while I put apple lossless. He doesn't care how his audio gets on his ipod - just that it's half-way decent sounding. I, on the other hand, use shure e5 headphones and do care.
All I am stressing in my main post is this device it targeted at the average joe who is familiar with itunes / ipods. Apple has sold millions of them so its potentially a huge audience. There are other devices out there that target the small niche groups so why should Apple's?.
tv I'd have to buy a TV first.