I know this is an old thread, but I was afraid that iOS 8 would cripple my iPad 2 and 3 models, so I completely skipped over iOS 8 and discovered this issue only after I upgrade all of my iDevices to iOS 9.1.
My Seagate wireless mobiile drive would no longer stream my PURCHASED iTunes movie content any longer from ANY external source.
I have been angry, upset and livid ever since discovering that Apple discontinued this feature.
Apple underhandedly and without any documentation of this fact to its users, coded out a feature that had been available since iOS 5 and I believe they coded this out sometime when iOS 8.1 or iOS 8.1.2 was released.
There is no way for any of us to know if Apple did this deliberately, forgot about this functionality OR they were forced/pressured by the motion picture industry to close and code out this ability to stream digital movie content from movies stored on external drives.
We have no way to know if this functionality will ever return in the up and coming iOS 10.
You can all leave feedback here and demand that Apple reinstate this remote storage streaming ability to TV/movie content PURCHASED from iTunes store here.
http://www.apple.com/feedback/ipad.html
There are paid programs and procedures out on the web that will, illegally, circumvemt the DRM code. This will allow you to be able to use your external storage device to stream your purchased iTunes video content, once again.
We cannot discuss any of that due to this being an illegal activity and against the Terms of Use of these community technical forums, but all I will say is that I got so really fed up and was so outraged that Apple, without any warnings to its user base, removed this functionality, that I took matters into my own hands and went with the illegal route of paying for online apps that break the DRM code.
I now can freely stream my whole movie collection now from both a Seagate portable Wifi Drive and my recently purchased SanDisk WiFi connect USB Flash drive to my new iPad Pro.
To Hill with Apple.
As it is, I find nothing in iOS 10 that will compel me to upgrade any of my iDevices unless someone here does and can confirm whether or not Apple has returned this remote streaming functionality in iOS 10.
Here's a legal way to go back to being able to stream your purchased iTunes movie content with certain mobile drives.
I purchased a Seagate Wifi portable hard drive some time back. Seagate still makes this drive, but I am not sure of compatibility with older iOS versions, now.
I am fortunate to still have an original iPad from 2010 running iOS 5.1.1
Seagate still has a compatible iOS companion app that will still access their mobile Wifi drive.
iOS 5.1.1 through the last version of iOS 7 will still have this remote storage device streaming functionality.
So, I can, now use my six year old iPad 1 to, legally, stream all of my purchased iTunes movie and TV content, once again on this iDevice.
Apple is never going to go back to all of the older iOS versions to code out this functionality
So, if you can find an older seconhand iPad from a reliable source (with no user activation lock) that is still running iOS 5.1.1, IOS 6 OR iOS 7, you can, legally, stream your purchased iTunes video content, once again!
That's the story.