I have a PS3 in my theater that connects to a Wireless Draft N router via ethernet cable. I have my "media server" iMac in the living room that connects to the router via WIFI (N). What makes the whole thing work is a $20 piece of software called MediaLink from Nullriver. This allows the PS3 to access the hard drive of the computer and stream (or even copy) the files on it. It can do my iTunes library (with album art), my photo gallery (with some really cool slideshows), and video files (including HD podcasts). The only downside to the setup is that it will not play files that have DRM and I don't know of a way to remove DRM from iTunes movies (and am unwilling Torrent movies), so I am limited to HD files that are DRM free (video podcasts, and there are some really cool ones). Considering this whole setup only cost me an additional $20 to get working, I'm really impressed. I still think that we are a long way off from online distribution (given the lack of high quality content), but it's a start.