Xbox 360 and WMP 11 (streaming media) (1 Viewer)

I have 200+ gigs of music (and some videos) I stream using my Xbox 360 to my HT from my computer (Windows XP w/ SP2). I used to use Windows Media Connect (WMC) to do this but I recently upgraded my WMP to 11 which includes some form of streaming software built in, essentially making WMC vanish from your computer. After I set it up, and imported my library and shared the corresponding folders, I was playing with it and altered some of my ID3 tags (this is no issue, as I will correct them again), however, I realize that the only way to view the album art is to use Windows Media Center Edition, which Im really contemplating. But my real question is that When I stream video files, apparently, Its only certain video files that stream. I have other files in the shared folders that it wont even recognize through streaming. Does anyone know which files will and will not stream? It's odd, because they are mostly WMV's but like I said, some show and some dont. Any way to convert these files to the proper format? I'd like this thread to be sort of a reference guide to help others properly set this up as well as fix my issues. Or even, if someone has a tip or perhaps they have a different way you have it set up, please chime in.

I have also upgraded to WMP 11 and thus far the 360 will only suport WMV files. Its a nice feature really. Assuming you know how it works; using the WMC you were required to place your files into your "Shared Files," folder. WMP 11 takes your videos from your "My Videos," folder and allows them to be streamed. Unless you tell WMP to use videos from your shared you can't stream them.
The solution:
1. Place all of the videos you want streamed into your "My Videos," folder or allow WMP to accept files in your shared foders.
2. Convert the files that arn't in WMV format into WMVs you can find a few good converters online for free.