Apple TV just doesn't seem to work as a decent experience.

I have bought quite a few movies, and was feeling this was a good decision... but that's changed quickly and I now feel it was a complete waste of money.
The last half dozen movies have all stopped at least a few times (one stopped about ten times!) in progress while it waited to load.
The latest I started last night, gave up after 26 minutes (it was stopping so often and taking so long0... I tried to resume it today, and it seemed to be fine and then just stopped... and to make matters worse, disappeared ENTIRELY!
If I want to finish the movie I rented... I have to rent it again and then go through the whole stop start process again...
This is terrible... the experience is terrible, I will - obviously - be doing all I can to discourage people from buying apple tv... which is sad because, for the first month or so, I was telling my friends they should sign up... but it just doesn't work... and that's very frustrating.
If anyone has advice, I am happy to hear it... but I can't imagine what you can do when it's so consistently bad as an entertainment experience.
sigh
h

Chances are it's your internet connection.
If you can play things under the Computers tab from your local itunes library without issues then your LAN is likely to be fine.
AppleTV2  does not play well with slow/variable interent connections for rentals.
Basically it calculates how much needs to download to flash memory to allow continuous playback without interruption at the rate your internet connection is delivering - if this rate drops due to more users in your area or perhaps throttling of bandwidth by your ISP then the calculation will be wrong and movies will stop/start.
If you simply have a slow connection, then you have to wait for much of the movie to download first, this may take some hours.  On AppleTv1 the presence of an internal drive made this much more robust as the movie would stay on the unit until the rental/view period had expired.  It might take hours to download (so rent in advance of viewing) but once it was there it would stay until expiration.  AppleTV2 however does not retain the download and often if you restart the film it has to start downloading from scratch which I think is crazy.
Please send feedback here:
http://www.apple.com/feedback/appletv.html
I wish they had the option to 'lock the download in memory' until viewed or deleted - this would limit you to 1 HD movie rental at a time in order to keep enough free for other tasks/local streaming usage, but would make the device far more practical for slow connections.
You should test your internet connection at say speedtest.net on the computer.
Just as estimates I'd say:
1Mbps - probably 12 hours+ to start watching HD, less for SD
3-4Mbps - 20-30 mins to start watching HD, within a minute for SD  (my speed)
8Mbps+ - watch within a few seconds
If you go to Settings and in iTunes store options change to SD from HD you may find you can watch far quicker with any new rentals, but if you want HD it defeats the purpose.
AC

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