If you are dependent on iTunes store for video material, AppleTV would be your best bet.
If you are not then I am not sure why AppleTV would be even considered in current state of the market.
I had Popcorn A-110 and first WD TV and when WD TV Live came out I got two of them. Shortly after I sold the popcorn and old WD TV.
WD TV [Live] interface is more like AppleTV. WD TV Live handles full bandwidth 1080P blu ray movies (~48Mbs) like it is nothing. I do not like using external HDD, so I stream all content with Twonky Media Server to multiple DLNA clients around my house over wire. WD TV works the best with portable WD Passport drives. I heard WD TV Live could go wireless with 3rd party USB WiFi adapter. Not many folks figured out WD TV Live, so grab one till you can until other folks would figure out the value.
I took a look at some youtube videos of this new device and I see, while they've shifted things vertical, and added some network stuff, everything still looks pretty much the same. But I'm wondering if they've ironed out the bugs/quirks from the first gen device (which I own). Off the top of my head:
- I have some tutorial videos labeled 1,2,3..20, 21 and instead of showing them in order the OS goes back to DOS days and shows them as 1,10,2,20,21,3,4,5...
- I added coverart to my movies using MetaX and the hirez images cannot be displayed (isn't this a hi-def device??)
- fast-forward/reverse is flakey
- some of my MKV's it could not play
- it couldn't intelligently break out movies and TV shows
- overall I thought the remote and interface were very clunky
- etc
If these are still around (along with some music library issues I had) I think I'll stick with my AppleTV with XBMC. Plus, with the ~$25 Broadcomm card upgrade right around the corner, I should soon be awash in 1080p glory. Hopefully.