Okay, I'm having this issue as well, to the point that netflix is unusable. Is there any way to check if the problem is the actual internet connection? (as in: the internet is more than fast enough, but only works in bursts)
Details:
I have my atv connected through an airport express (wirelessly of course).
My software is up to date.
My apple tv used to stream netflix flawlessly, but I moved and that's when the problem started. Also, back then it was connected through a different router (netgear I think).
My apple tv streams movies from my iMac via my airport express flawlessly.
My apartment provides free internet but it gets shared with everyone so I upgraded to a 10 mbps service but there was no change.
I tried to go on netflix to switch the quality setting to it's lowest level ('good', I think), but there was no change.
I've tried different shows/movies, but they all pause/buffer.
At this point, aside from checking the consistency of my internet connection I can't figure out what the problem could possibly be.
So ***?!