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Transcode and stream videos to your Xbox 360

Besides bricking some Xbox 360 consoles, the recent Xbox 360 Fall Dashboard update did provide a few positive benefits too. One bonus came in the form of enabling gamers to stream WMV files via Windows Media Connect from an XP PC to their Xbox 360. Previously only Windows Media Center could stream to the 360, but if you had a DivX or XviD file you wanted to play, you had the option of using Transcode 360 to convert non-WMV files on-the-fly. However, until someone updates Transcode 360 so that it will run over Windows Media Connect, you'll have to transcode your DivX or XviD files manually. It's a pain in the neck, but it'll do the job. But, thanks to our buddies at Joystiq, we've got a series of step-by-step instructions on how to transcode your DivX or XviD videos and watch them easily on your Xbox 360. We won't go over every single point, but basically, it involves using the free and open-source program VLC followed by the helping hand of a batch script. The script turns your video files into WMV that'll play nice with your Xbox 360, allowing you to enjoy your vids (in the example, a recent episode of "Lost") in full, converted HD. But as you probably already know, if you're starting out with a not great DivX file, you're going to end up with an even worse WMV file that won't look too hot, 1080p or not. So if you want to try it out, follow the read link for all of the step-by-step instructions.