I'm in the same boat, TV-wise. (I have a PS3, though) Ady recommended one to me and it's $500 off right now, so maaaaaybe I'll get a new TV soon. :)
I think I'll try it with VLC right now, though. *trying* Yep, it works. It would pause after a bit, though the audio kept going. I'm hoping to watch it on a TV soon now, though.