The problem I found with mkv files is on ppc macs. Both my intel macs (MBP and MP) play it fine, leading me to believe that whatever codec is being used hasn't been optimized for ppc yet (and possibly won't for the forseeable future). I too pulled my hair out about this on my g5, wondering how a 2GHz core duo system had no frame loss when my dual g5 2GHz box with twice the ram was crawling even with no other processes open. Hoped that helped Sanjan!