Bear these in mind too:
From
http://www.apple.com/uk/appletv/specs.html :
Video formats supported
* H.264 and protected H.264 (from iTunes Store): up to 5 Mbps, Progressive Main Profile (CAVLC) with AAC-LC audio up to 160 Kbps (maximum resolution: 1280 by 720 pixels at 24 fps, 960 by 540 pixels at 30 fps) in .m4v, .mp4 and .mov file formats
* iTunes Store purchased video: 320 by 240 pixels, 640 by 480 pixels, 720 by 480 pixels (anamorphic) or high-definition 720p
* MPEG-4: up to 3 Mbps, Simple Profile with AAC-LC audio up to 160 Kbps (maximum resolution: 720 by 432 pixels at 30 fps) in .m4v, .mp4 and .mov file formats
Audio formats supported
* AAC (16 to 320 Kbps); protected AAC (from iTunes Store); MP3 (16 to 320 Kbps); MP3 VBR; Apple Lossless; AIFF; WAV; Dolby Digital 5.1 surround sound pass-through
Key thing being: maximum resolution: 1280 by 720 pixels at 24 fps, 960 by 540 pixels at 30 fps
In the converter software you will need to de-interlace to the 29.97/30fps rate and potentially downsize to 960x540, alternatively you could drops the framerate to 24fps but that's not ideal.
AC