I have tried HD files (incl 1080p) from my external drive and they play very well! Youtube in HD also works great. Netflix is another issue though
The app (latest from the play store) loads and plays, but the quality of the video is horrible! I regularly use Netflix on my iPad 2 (wi-fi), computer (wired), and laptop (wi-fi) and the quality is great on those. I've tried using the media box both through a wired and wi-fi connection but there is no change in the quality. On my computer, I logged into Netflix and hard-selected for it to use the high quality video option. I'm fairly positive it's not a bandwidth issue.
In case it matters, I'm using an HDMI cable and have tried at both the 1080p and 720p output settings.
I've included screen shots of the OS version and build and the Netflix version and build.
Anyone have any thoughts on this? Could this be a Netflix app and OS version / build co-existence issue?