Yep, the PS3 can play VC-1 encoded files, but hangs on the Windows Media 9.1 audio stream. My PS3 recognized the clip I used from ESB initially, but when I tried playing it, the file came up as "corrupted data". The 360 played it flawlessly, though.

So here's the rub: Is there any possible way to watch these 10+gb videos on Xbox 360 without streaming it? As I understand it, both the PS3 and 360 can only recognize FAT32 formatted external drives which have that pesky 4gb file size limit. NTFS drives eliminate the file limit, but aren't recognized. Thumb Drives and Flash sticks have a similar problem.

The only solutions I can think of for files greater than 4gb would be burning onto a DVDR DL with the UDF file system, or onto an HD-DVD ROM or BD ROM (for your system of choice) for files larger than 8.5gb.

Any suggestions?