Play back DVD's from Time Capsule Issue

I have set up ATV successfully (I think) and I aim to stream my DVD’s ripped to my time capsule drive and this appears to be a function supported with this.

I have the access to the Time Capsule sorted, The Nito TV can see the share on time capsule no problem and when browsed to it it can see the files and load them OK. It’s when the DVD’s start there is an issue, the DVD player plays the first few seconds of the feature and then pauses and stutters to a stop.

I can press ‘menu’ on the remote but I cant ask it to start again, the movie is just frozen. same with asking for the menu. If I press menu twice I can get back to the Apple TV menu again (after a bit of a pause and stuttering).

I first thought this might be a wireless network speed thing as it might be too much for it, so I connected a network cable directly to the time capsule’s switch port and tested was working OK and tried again but I got the exact same issue hardwired.

Can anyone advice what the issue is here? it really feels like a speed performance issue or even a media player plug in issue?

Incidentally I put an iTunes friendly (mp4) movie on the Time Capsule and played that and it seemed to stream OK but was still a bit slow and stuttery…

Help given is hugely appreciated as this is the main and only reason I wanted to use ATV Flash on my Apple TV


Is any moderator able to advice/help?

DVDs will be best streamed over a wired connection, so it's strange the same issue is appearing.

Does this happen with all DVD files? Which program was used to backup your DVDs?