Thanks so much for the great info!
I was able to rip a copy of Xmen that I have on DVD to MP4 using DVD43 amd Handbrake (using the 720 x 480 setting) and it works perfect. I ended up with a 700 mb file using 1500 bit rate and 160 audio rate and the picture is very crisp. Also, I am using act1 which is a nice media player for the Droid.
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