I use PocketTV for watching movies and shows. I encode all of my stuff in divx first, so i hate converting them to mpg. Also, when dithering is added, it doesn't look that bad. Cartoons turn out perfect and movie trailers don't look too bad as most might think. Everything i run on PocketTV now runs at 10-12 fps so if i buy a MIPS device for a little bit more, im just paying $50 for 3-5 more frames per second. Big whoop!
I like my Jornada. Its reliable, has great battery life, and has provided me tons of entertainment for its price (I got it for $100 with a 128mb CF card)

I can turn my Jornada on full brightness, and play games, watch movies, or play MP3's /w CF card for 2 1/2 hours. No other device has that kind of battery life (except Palms)
