hi,
i’m gonna jump to the point; the wd tv i ordered from amazon skips avi and matroska video formats quite often and i need to know if there is a fix for this, i think i have the latest firmware update unless a new one was released this year ie2010.
it makes me not very happy to find out i have a generation 1 and not 2 tbh, not to mention the issues related with this box. i mean i cant watch one movie in peace! 
There is a work around. Start the movie from the beginning and fast forward past the point that the video locked up. Small price to pay.
i eventually started doing just that but come on man the wd tv should support simple mkv and avi file formats, the movie plays fine on my pc; i just regret buying this piece of trash and strongly advise anyone thinking of getting one for matroska/avi playback to stay away or they are going to pull their hair away! hows that for technology?
It might be possible that mkv files have some problem.
Although it is in pre-early beta state you may want to use Meteorite MKV Repair Utility from the author of DivFix++. It did some good job on some of my files.
Don’t expect so many things at this stage. It is really really beta. And please don’t forget to inform the author about the bugs. It is the only and only MKV repair engine.
Check the link below :