REcently bought a WD TV Live to drive an LG 20" monitor in my bedroom, with external speakers for audio (a cheap TV setup). Connected the unit, succesfully connected to the network, the unit upgraded successfully, however the auto detected colour space for the LG monitor was incorrect (over saturated in magenta). I could correct the colour space manually, however, whenever I attempted to play a video (avi or mkv) from local or network share, the video would successfully playback, but the loading icon (circular arrow) and/or the text overlay would remain onscreen; the remote control would also become non-responsive. Only fix was to power cycle in order to regain control
After much trouble shooting (downgrading, resetting, standard drill), no improvement.
Finally, in a last ditch effort, I connected to my Sony TV… and the unit worked perfectly. After a bit more troubleshooting, I found another post on this site suggesting that one should power up the unit first, let it boot, then connect the HDMI to the monitor after the WDTV Live had booted. I tired this… and it worked. Finally after days of trouble shooting, a simple fix. Unit now works flawlessly.
Posting here in case it helps someone else.