AU: This is one of those “Only in America” things. _-EH

Before we get into the HD-XR, there’s the other new model to introduce. The low-end Roku SD is pretty much a stripped-down version of the current Roku HD model, appropriately enough. It has Wi-Fi b/g and Ethernet, but only offers composite output &mdash ;no HDMI, component, S-video or optical audio out, all of which the Roku HD has. The SD offers just standard-def streaming to go along with its standard-def output and retails for $US80 (the HD, in comparison, sells for $US100). Both the SD and HD-XR are crammed into the same small, fanless case as the HD, so they’re all the same size.

The HD-XR is Roku’s new high-end model, selling for $US130: In addition to everything the Roku HD has, the HD-XR is packing 802.11n Wi-Fi and, intriguingly, a USB port. But therein lies the problem with the HD-XR, and the reason we’re bringing you a hands-on and not a review today: The USB port doesn’t do anything. Yet.

Roku tells me that they’ve got some substantial additions coming to their service via automatic firmware upgrade in “the coming weeks”. First is the Roku Channel Store, which “will offer a number of new content channels for the Roku player, many of which are free”. This comes in addition to the currently offered Netflix (duh), Amazon and MLB. What could the new channels be? We’d say Hulu is a fair bet, given past rumours. Other dedicated streaming sites like ABC or MSNBC wouldn’t be out of the question either, and since everybody’s doing it, I wouldn’t be surprised if Facebook and Twitter come to invade your tidy little Roku box.

Second is that currently useless USB port — it may not do anything yet, but I assume it’ll allow video playback from UMS devices like hard drives and flash drives when it’s enabled through firmware. A helpful tip, Roku: Extensive codec support is mandatory, not optional, in a device that has as few features as this one. It only does a couple things, so it had better do them damn well. DivX, MKV and H.264 would be a start.

So how does the HD-XR perform?
Just about as well as I could hope. It’s a bit slow to start streaming a video (two minutes at most, but that’s a long time to stare at a progress bar on your TV), but once it started it never stutters, and video quality is nearly as good as when streaming on a computer. I do wish you could browse through Netflix’s catalogue, rather than only being able to stream what’s in your Instant Watch queue, but it’s super simple and works well. The remote is small but feels solid, and has few enough buttons that pretty much anyone can figure it out. Setup is easy and the antenna picks up my Wi-Fi signal just as well as my laptop. Overall I was really pleased with it, and so were my non-tech-savvy roommates — no mean feat, since they’re not usually into all the nerd stuff that I deal with every day.

So what’s new right now?
Um, well, 802.11n. That’s it. It’s pretty disappointing to see new hardware released without the accompanying software that takes it to the next generation, especially given Netflix’s invasion onto Blu-ray players (only $US100!), HTPCs, PS3s and god knows what else. I’m not so sure the HD-XR is worth $US130, given the growing ubiquity of Netflix streaming, so Roku had better bring it with this firmware upgrade — the days of a one-trick pony in the living room are nearly up. [Roku]

After all, Roku players only stream media from a handful of sources while an HTPC opens up the entire internet for playback on a TV. Plus, nettops and other small PCs are becoming extremely affordable. Unless the XR costs next to nothing, it makes more sense to save up for an HTPC. In the end, you might recoup the added expense by ditching your cable service. [Engadget]

TiVo’s not the only box offering HD content from Amazon VOD, Roku has also announced HD Amazon downloads which are available today.

AU: Also US only, but I like teasing you with what awesome online video streaming solutions could be like if only someone would offer it…

Even if streaming-only subscriptions don’t happen this year, he couldn’t be more clear about where Netflix is putting their poached eggs: “We’ve got one singular objective, which is ‘Be successful in streaming.’” To that end, they’re working on more content for their streaming service. Notably, he says that they’re talking to HBO and Showtime for a deal like they have with Starz.

An HBO deal would be fantastic because then I could watch Dane Cook and Entourage as much as I wanted. Which is like, never, but oh, the possibilities. [Bloomberg via Yahoo via Engadget]

Also of note, according to some promotional materials from Roku, YouTube could be the next service to be supported. (You can see the logo in this story’s lead image.)

I know, it’s tough to top Netflix streaming with pay movies and clips of people’s cats. But it’s good to see so many different platforms (hardware and digital) intermingling at last. [Roku Forums via Zatz Not Funny]

That means that all of the new gear we saw with built-in CinemaNow support at CES (like LG’s broadband TVs and BD decks), as well as the Xbox 360, will be able to stream Blockbuster’s service, But here, again, is the rub (the same one that made their dedicated streaming box from 2wire a dud as well):

For now, Blockbuster intends to rent digital video on a pay-per-view basis or sell the movies to own. Keyes, though, said the company hopes to develop a subscription plan for consumers who want unlimited access to Blockbuster’s digital library.

Blockbuster sees an opening focusing on new releases that Netflix Watch Instantly doesn’t have. But without an unlimited subscription plan, why would anyone not inclined to leave the house simply rent them from their cable company’s DVR at around the same price? Yeah, I don’t know either. [AP]

Amazon’s Video on Demand library has about 40,000 titles and releases movies on the same day they hit DVD, and anything you buy on the Roku box can be accessed on your PC or Mac too. Like Netflix, the streams will scale to your bandwidth. I think this officially makes the $US99 Roku box the best value in standalone VOD boxes, since it explodes the Roku’s catalog weakness by giving it access to new titles.

AMAZON VIDEO ON DEMAND BRINGS CUSTOMERS NEW-RELEASE MOVIES AND TV SHOWS TO THE ROKU DIGITAL VIDEO PLAYER

Roku adds a convenient way for customers to enjoy movies and TV shows from Amazon Video On Demand; Amazon Video On Demand connects to PC, MAC, Sony Bravia Internet Video Link, TiVo, Roku and more to come soon

SEATTLE–(BUSINESS WIRE)–Jan. 5, 2009–Amazon.com, Inc. (NASDAQ: AMZN) today announced that it will offer customers the ability to instantly purchase, rent and watch digital movies and TV episodes from its popular video service, Amazon Video On Demand, via the Roku Digital Video Player. Beginning in early 2009, the Roku Player, which currently supports only the Netflix service, will offer access to Amazon Video On Demand’s more than 40,000 commercial-free movies and television shows enabling Roku customers for the first time to watch new release movies titles instantly.

With an easy-to-use interface that customers can enjoy from their couch, Amazon Video On Demand and the Roku Player will enable customers to:

∑ Access and add to their virtual library of purchases via Amazon Video On Demand’s Your Video Library, and re-watch them anytime on the Roku Player or online with a PC, MAC or other compatible device.
∑ Watch new release movies the same day that they are released on DVD. Hit titles such as “The Dark Knight,” “Hancock,” “Pineapple Express”, “Tropic Thunder” and hundreds more that are not currently available on the Roku Player.
∑ Enjoy instant playback, no downloading, no waiting and no subscription fee.
∑ Browse Amazon.com’s huge selection of over 40,000 movies and TV shows for rent or purchase.
∑ Enjoy Amazon Video On Demand’s high-quality video through its use of the advanced h.264 codec and an automatic bandwidth detection feature that seamlessly plays back the best quality file at either 300, 600, 900 or 1200 kbps.
∑ Easily setup their Roku Player using its built-in Wi-Fi connection and begin watching videos within minutes.
∑ Connect their Roku Player to any television set using HDMI, Component Video, Composite Video, S-Video, Stereo Audio or Optical Audio connections.

“With the subscription-free $99 Roku Player that connects to any TV, customers can now choose and watch their favourite new-release movie instantly, and access all of their titles from their video library,” said Roy Price, director Amazon Video On Demand. “Amazon Video On Demand’s large selection makes the Roku Player the perfect choice for hassle-free On Demand movie and TV entertainment.”

“We are excited to add Amazon’s massive catalog to our player – including new releases and top movie and TV titles,” said Anthony Wood, Roku CEO and founder. “This makes the Roku Player the ideal choice for watching Internet content directly on TV.”

[Amazon]

According to NewTeeVee, the new screen was accompanied by a welcome message:

By now you’ve discovered our new home screen. This screen will become your launching pad for a number of great new channels that will begin to appear on your player in early 2009. In addition to the hugely popular Netflix channel, you’ll see movie channels, TV channels, web video and more!

We’ve also upgraded your player to support an advanced video format that will deliver better video quality, especially over Internet connections.

Finally, your player is now fully HD compatible. If you have an HDTV, select ‘update display type’ below to get the full HD experience. (Tip: visit www.netflix.com/InstantHD for HD movies from Netflix.

Netflix has a short and somewhat sweet list of HD titles for Netflix enabled devices if you’re interested. [NewTeeVee — Thanks, Chris!]

Roku engineers have acknowledged the problem, and are said to be looking into it. At this point they a directing blame at Netflix claiming that recent changes to the content distribution network (CDN) may have contributed to the problem, but the lack of complaints on other Netflix compatible devices like the Xbox 360 and the Samsung BD-P2500 / BD-2550 Blu-ray players make this defence unlikely.

Apparently, the problem is serious enough that some are experiencing quality drops of 50% or more with extremely low connection speeds. Just how widespread this problem is remains to be seen, so I have to ask: if you own a Roku, have you noticed any quality issues lately? [Roku Forum via Wired]

With the Neuros.TV interface, the Link does something simple but spectacular. Instead of pushing you through a clumsy series of web portals, it gives you a simple, unified interface for browsing online video content. With out-of-the-box support for nearly any video codec (courtesy of mPlayer and VLC, mainly), a solid interface and an included wireless keyboard/controller, it’s a capable machine. At $US299 (or $US249 without the keyboard), it’ll be tough to take on the $US229 Apple TV, which in addition to having an included local hard drive and access to iTunes, supports most of Neuros.TV’s features though Boxee. Spec sheet below. [Neuros via Zatz]

Technical specifications

* 1080p H.264 video playback
* HDMI (max resolution 1920×1200, 1080p) output
* High-definition 6-channel Audio output
* Optical S/PDIF audio output
* Gigabit Ethernet
* 802.11 g/b WiFi, up to 54Mbps
* Lots of USB 2.0 High-speed Ports (6 external ones today)
* Housing: 300mm x 90mm x 326mm (11.8″ x 3.5″ x 12.8″)
* Noise: under 27dB
* Controller: 2.4 GHz wireless keyboard trackball controller
* Software:
o Seamless integration with Neuros.TV, a free service that lets you organize and watch Internet TV on your TV
o Neuros distribution of Ubuntu 8.10
o Open-source video players (MPlayer, VLC, Xine). A comprehensive list of formats, containers and media can be found on the above websites.