Let the hive mind of Engadget get that for you.
"I need help! I want a small pocket camcorder but I'm not sure which one to get. I don't want to fall into the hype of the Flip because I worry two hours won't be enough. What should I be looking for when considering a small camcorder and where can I get a good quality one with expandable memory? Thanks!"
Ben: Props for obtaining this info. There have been some mighty panty bunch speculators out there regarding this player.
Sean and mcrexx: Yes, the player will be able to do internal decoding of all the formats. Read HD Guru pre-production review: http://www.hdguru.com/?p=184
THANKS BodegaBay! This player is SO MINE when it's released!