the remote app sucks haha. i think they should make the app a apple remote but on the touch screen
I think it's nice for a v1.x s/w ... use it all the time for AirTunes to my bedroom stereo. Controls are the same as iPod. My only complaints are that it sometimes takes awhile to connect to my Network/Library, the volume slider is unresponsive at times, and AirTunes is occasionally spotty (but fixed with a restart of the basestation).
Overall the implementation is great. My home network is a WDS-extended setup consisting of an Airport Extreme 802.11g base station and Express 802.11g remote WDS. I plan to connect the ATV to the LAN port on the base station so as to lessen the strain on the wireless portion of the network.
What sucks is the audio quality from MP3s. Have you listened to a CD lately? Refreshingly better. But a compromise I'm willing to make (most of the time) for convenience.