I've played around with the unit a bit more and it's actually working
I was using a old LCD TV I have laying around but realized there is also a RCA input on my HD TV, when I use this input in combination with the converter it works, I will have to try this still on my father in laws TV, but the FTV to RCA/Composite works at least on some TV's
The image quality is doable, the color of the menu's in FTV and XBMC are a little flat and pixelated, video is more clear though, think the quality looks like what should be expected from a analog display.
Sound works fine, although I used a different USB power source to power the converter, I think there might be a power delay (or something else funky) happening with the USB port on the FTV, creating a nasty static, this static did interfere with the video image as well. (creating some distortion what seems to be running at the same Hz)