HandBrake

I can confirm that Handbrake Apple-TV presets work just fine when you aren't streaming the video . . . use a UBS drive to test it for yourself.

The problem is squarely one with Connect360 / 360's Network Code.

Yes, I downloaded those plugins when first prompted. Regretably, no films in my library, even those created using AppleTV presets work. I get an error code when I try to play them.

How did you redownload a plugin? I was looking forward to this update, but it seems my Movie Library won't work on the 360. Anyone willing to post a preset that's tested on the 360?