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Poor video quality .AVI &.MOV files


Hello, I just got my WD TV  Live. I set it up but, when I try to play 720p .AVI or, 1080p .MOV files I get a low quality grainy picture. When I play the .AVI files through my hdtv, they play fine. Is there a setting I need to play these files on the WD? The YOUTUBE videos play fine on the WDTV.


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