I have been experiencing problems with WD TV Live for the past 2 months including: network source removed, login failure, media can’t be read, lagging & skipping when streaming, etc. Before, I only used my iMac (2007, 10.6.8 Snow Leopard), WD TV Live and a DSL cable connection with a cheap modem from ISP. Now, I add TimeCapsule and they work fine.
My cheap modem from ISP seem to be the problem responsible for the whole streaming problem I mentioned above. While the connection between the modem & the ISP network seem fine, the problem comes when it serves as a WiFi router. I detected this because my internet connection was always dropping every 15 minutes, I tried to restart the modem but the problem persist. This would automatically affect the streaming quality of WD TV Live & my iMac. So what I did was turning the WiFi off at the cheap modem, connected it with Ethernet cable to my TimeCapsule and use it as the WiFi router. Result: internet connection never dropped, login process runs smoothly and network source never removed unles restarted.
My ISP lends (as written in the contract) the modem which is a very cheap mass-producted made in China kind of modem. I think it cost only around US$ 13 in our local market. At least in my case, this modem is proved to be unreliable. Of course, different ISP would have different product and I hope you’d get a better quality modem by signing the contract. If you have similar problem with mine, try to see what kind of modem & WiFi router you are using. In my country, internet is still a big business and there are a lot of competitions between ISPs hence the quality of the modem. I have 3 different modems of the same quality from the same ISP because I’ve signed 3 contracts from 3 different places. So, now I’m still using the cheap modem to connect to my ISP because it’s working fine so far.
A little more info from me is:
- TimeCapsule works great as a wireless harddrive to store various media to be streamed to WD TV Live. I don’t use it with TimeMachine, I treat it as a normal harddrive with a password.
Thanks for reading. 
