my 32LH35 (from SnS) plays AVI files of tv series flawlessly. i've watched lost, grey's anatomy, flash forward, the office. it's like bypassing the media player altogether so sulit talaga.
so far, the only files that i noticed na hindi kaya are mp4s some mpgs. SnS also mentioned that hindi puwede yung mkv yet (sir vic, may parang firmware update pa to allow more formats?). you can play those on your desktop/laptop anyway. otherwise, ok lahat sa tv na straight. the few thousands na extra for usb playback is worth it, IMO.