QUOTE(Alpha2 @ Jan 16 2009, 10:19 PM)

I need it to play 720p MKVs because that seems to be the new hottness for anime fansubbers, MP4s as well.
The ipod and numerous other random "MP4 players" ar incredibly picky about what formats you want to use. AVI? sure as long as it's encoded with divx and mp3 audio, if you've got H264 and AAC? you're shit outta luck. Mpeg? what are you insane? FLVs only play on every 3rd thursday in years divisble by 3.
For 720p you will very probably need the DSP because the processor alone will not have enough power. Beside this it will be flexible. Mplayer will be ported if it isn't already and VLC is also coming. So don't worry everything should be fine.
On my nokia internet tablet (running maemo linux) and mplayer it can basically playback most type video file. As on the pc version as far as I know. MKV file with h.264 video and ogg audio ? no problem, it can play it. The internet tablet is not powerful enough to play it back at a proper speed but that's another story.