Apple really need to enable Airplay for their DVDPlayer app. It's crazy that I have to spend hours messing around with Handbrake to mitigate the picture quality of a re-encode when Apple could just allow streaming from their purpose-built app.
They also really need to work on supporting playback of .AVI and .MOV containers too.
They have a potentially game changing product here but it's not going to get mass acceptance until people can throw most video formats into iTunes and have them just work.
I understand they can't do that for DVDs because of the licensing issues surrounding the format but surely Airplay would be acceptable? If not, I hope a 3rd party steps up and fixes this obvious weak link.