So in my quest for streaming movies to the DS I have found a couple of issues:

1. Wifi is too slow
2. DS can't handle the decoding

So unless I am way off, why couldn't a TVersity like server work with the DS to convert videos on the fly?

First problem:
802.11b is up to 11Mbits/sec but usually runs at 1-5Mbits/s.
An average DPG is 300 - 500MBytes, that would be 8*300 - 500Mbits = 2400 - 4000Mbits
An average movie length is 90-120 minutes = 5400 - 7200 seconds

So using the worst case of 4000Mbits and 5400 seconds you get:
4000Mbs/5400s = 0.74Mb/s

Thats 25% less then the worst case scenario of 802.11b. The DS wifi can can handle that just fine

Second Problem (decoding):

If the unit can decode a dpg, there should be no difference if it's a streaming DPG.

Anyone? This seems to simple for someone to miss, so I must be missing something?