Home sharing problems since Apple TV update

Hello everyone;
I have a Apple TV 2, an iPhone 4S, an iPad 2 and a Macbook pro 17" on the same iCloud account. Syncing of data between the computer and two iOS devices has been rock solid. Kudos on this system architecture, it is exactly what I have come to expect from Apple.
I recently purchased the Apple TV2 - but am now past the warranty period - to stream music and videos to the stereo from my Macs, either the iPad or computer mostly. It has been an excellent digital sound source, since most of my music is encoded full quality.
For the past two years the performance of this system has been flawless. I have the Remote app for my iPad, which is an awesome way to control an Apple TV for music playing, since you can build the 'Up Next' menu really easily, and having the iPad keyboard for inputting passwords and search items in the youtube browser is very handy.
About three months ago my Apple TV requested an update. When it was done my home sharing network was not working, would drop out, would shut off suddenly and disconnect my devices. I searched the forums and all I could find was the suggestion to make sure iTunes and both iOS devices had the latest updates. Sounded a bit cliche, but reasonable, so that was done. Still no joy with the network. Could not get it to connect.
Found another link that recommended updating the firmware on the modem. Tried that, and voila, the home sharing was back. Didn't last though, the next time my Apple TV went to sleep, it was gone again. I realized the modem rebooting may have been what did it, so I tried it again, and voila, the home sharing was back… and stopped again after a while.
Now I have to reboot the router every time I want to connect and it doesn't last. This is a pain in the arse that disrupts everyone on it, and is flatly incompetence on the part of Apple to release an update that screws up the main reason anyone would buy their product. The Apple TV is half a device without streaming. It should be said that Netflix and the internet are perfect on the Apple TV throughout this whole ordeal, so obviously there's no problem with the internet, the wireless, or the hardware. It plays music and video perfectly through whatever source is available. It just won't home share with the rest of my stuff. Literally wile I typed this my iPad just lost its connection to the Apple TV while the remote app was shuffling my music in the background.
So this is my rant. I've been a happy Apple consumer and advocate since my first Powerbook 140 bought in 1991. It's been great to watch the evolution of this company, and I'm always impressed with the user experience they provide, until now. Purchasing an Apple TV was a no-brainer for me, since everything else was seamless, and originally that's exactly what it was until this update ruined it.
I tried to contact Apple for help, or to find a tech note that would lead me to the solution, and was told I'd have to pay for the call. They did this, not me, so why do I have to pay them to fix their mistake? Does a company have the right to ruin a product you've already purchased, then ask for money to help you fix it? That is a strange business practice.
If there's something I need to configure or reset, so be it, but where can someone find that out? Literally in 10 minutes of what should be an innocuous update, I have lost my music box through no fault or mistake of my own.
If there is someone from the Apple tech support community or genius bar on this forum I invite you to support your product and let me know if there's a solution to the problem Apple created. They've made their own product look like crap. This is very un-mac.
speakerman65

I had variations of all the issues described after my firmware update to  Apple TV software 7.0.2(6915) And all my iOS devices to 8.0.2.  Had Home Sharing turned on on all devices and Apple TV.  Initially AirPlay icon disappeared completely from Control Center but mysteriously appeared overnight.  Prior to that I tried all standard Apple Support advice I can find including resetting my Apple TV which was really frustrating especially when it did not solve the issue.  Even after AirPlay icon appeared this morning, I am not able to AirPlay my home screen from Control Center  -  every time I select AirPlay and turned on Mirroring, it reverted back to my iPhone.  Even Remote App did not work though Home Sharing was turned on.
Then  I tired this out of the blues - went to my iPhone 6 Photo Stream and selected a video clip I took and then flip up Control Center and then tried AirPlay and mirroring again to Apple TV and then everything started to work!  All  my other devices started working again as well. Remote App is able to connect and pair with AppleTV.  Seems like Apple TV needed a jolt after firmware upgrade from some media app like Photo Stream.  Very strange.
Hope this helps others on this thread.  Most important of all, if there are any Apple support personals or engineers reading this, I hope this might help in troubleshooting this annoying bug and provide an important fix.
Don't mean to vent but I am a long time Apple fan since Mac Classic days and pretty much have everything Apple from computers, tablets, phones, to AirPort Extreme. I have always been bragging to my friends and family on how seamless and trouble free Apple products are but you can imagine how embarass I was when I had friends over for Thanksgiving and I was touting Apple TV/AirPlay until this happened under my very nose. This gave some an opportunity to brag about the competition.  Apple please do us proud again  - we still want to brag about you.

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