- usd. explained & promissed overhaul, even if with low priority
- at least he is not keeping you in the dark anymore, you should consider giving him props for that; trouble can & will happen to anyone and acknowliging it and apologizing for it is a sign of sincerity that should actually gain trust rather than hurt it.
- divx streaming is in incredibly low demand when compared to flash, in my stats as much as 80% of people bounce when they see a divx player, and i can very well suppose they have a chance of not comming back. turning off encoding, even if for a time being, could prove hurtful to a hoster.