Q: While streaming from MacBook to Apple TV. There always seems to be a lag or dropping of video frames

This is due to the network. If Mirroring then that requires a lot of resources, it is done over the local network so internet connection is irrelevant.

Make sure no other activity is occuring (other streaming, browsing, network backups etc)

If on wifi try Ethernet

To see a current status of the network get a report from istumbler or similar. Look for signal strength, noise, nearby networks.

Test on another network

Try the following steps, check whether things are working after each step where appropriate, before trying the next.

1. Check AirPlay is turned on on the Apple TV (turn it off and on if it already is)
2. Check that both devices are on the same network (Settings > Wifi, on the mobile device and Settings > General > Network, on the Apple TV).
3. Restart the Apple TV (Settings > General > Restart).
4. Restart the Apple TV by removing ALL the cables for 30 seconds.
5. Restart your router. (Also try removing it’s power cord for at least 30 seconds)
6. Restart your mobile device or computer.

If you are still having problems, try using 802.11n for wifi if you are currently using either 802.11b or 802.11g.

If your problem is AirPlaying from a computer, try disabling bluetooth

If you are still having problems, the following article(s) may help you.

Troubleshooting AirPlay

Troubleshooting Wi-Fi networks and connections

Recommended Wi-Fi settings

Wifi Diagnostic Software (for Mac users)

You may also find some help on this page, where I’ve collected some of the more unusual solutions to network issues.

Hi. You don't describe how you are streaming video to Apple TV. You should try to use basic AirPlay if possible. Tje following describes the different AirPlay modes.

Video AirPlay works in two modes. Basic AirPlay just sends the video URL to Apple TV which then streams it directly. This usually works best since there's no double transmission. You're using basic AirPlay when the video player on your device goes black. On a computer, you do this using the AirPlay icon that appears in the controls of a screen video player object, in the browser or other app.

The other mode is Mirroring, which generates an H.264 video stream from the device frame buffer and transmits it over WiFi to Apple TV. This video compression inherently limits resolution, and may have trouble with fast motion. When you puit the iPad or iPhone video player into full screen mode, mirroring automoatically switches to basic AirPlay, and it seems to be impossible to prevent that from happening. On a Mac computer, you access this mode from the AirPlay icon in the main menu bar. It lets you mirror the main display, or create a new display, extending the desktop. But remember that the data sent to the Apple TV is always being converted to a live video stream. Actual display frame buffer pixels are not transmitted, as they are to a directly connected monitor.