Right here's my official guide to getting this working.

First of all, go and download WMP 11 here:

http://download.microsoft.com/downlo...xp-x86-enu.exe

After that, you want to go over here and get Tversity:

http://s3.amazonaws.com/www.tversity.com/download.html

Get the very latest build, and install it. If your 360 is having trouble seeing it, try and open the 41952 port in your firewall, as well as the Tversity exe's, which is quite easy in the windows firewall, and I recommend exploring them. If you have any issues with this, go to the following:

http://s3.amazonaws.com/www.tversity...leshooting-faq

Now, you need the patch for 360 transcoding, which is available here:

http://s3.amazonaws.com/download.tve...ch_0_9_8_4.zip


Installing the Patch:
- Stop Tversity
- Extract the content of the patch zip file into the installation folder of TVersity (by default it is \Program Files\TVersity\Media Server)
- Start TVersity, go to the 360 and browse your computer for videos. You should now see all the videos shared via TVersity plus all the online video URLs and assuming your directshow has the filters needed to decode these videos they should all play on the 360.

Nearly there now squires, get the FFDShow codec you want here:

http://www.free-codecs.com/download_...hp?d=2631&s=50

To install this, stop Tversity and just run the exe inside the zip file, and go through it, and don't untick anything you shouldn't.

Finally, start Tversity, and add DivX files or folders containing them, and feel the full force of the transcode on your PC (it likes CPU's and it cannot lie), and on your eyes and ears as this is absolutely awesome on your 360.

NOTICE

If you want your 360 to display your DivX in 720p (or higher) you must:

a) Be insane as you need at least a dual core CPU

and

b) Be ready for some experiments.

Go to \Program Files\TVersity\Media Server, and right click on the profile xml file, and find the Xbox 360 profile. Here, change the minvideoinfo bit to the res you want. 720p is believed to be 1280 x 720, but I have no idea about bitrate.

There you have it, this is HOW IT IS DONE.

(I know as it has worked on a few machines, my friends, my own, and a few people I don't even like!)

credit to homez99