I was wondering if you could stream video from a HD to your TV somewhere else (using something like WD Live HD) and at the same time be playing a game...?

Is that possible or no? The movies and games would be on separate HDs, but on the same computer (intel dual or quad core).

I'm wondering to see if i really have to build a separate HTPC-type system or not... Not interested in recording of TV - just playing my recorded DVDs/BluRays off my computer (i have a 6 year old...don't really want him touching BluRay discs by accident and maybe scratching/breaking them.... :( )

Anybody know anything if it's possible or asking too much... :)

It is certainly possible but there is the risk of slowing your gameplay. Why not use an old PC as a file server that you hide away in your basement? Better yet use WHS as your OS. Then you could use an Xbox360 at your TVs rather than a WD Live HD.

Tv and computer are on other side of room from each other in basement.... :)

Xbox 360 = $300 VS $1xx for WD Live HD....

Already have Windows 7 i could use...why do i need WHS? Can't 7 be used instead...?

Would it matter if games and movies would be on different HDs? Or whether the movie HDs are located on something like the DLink DNS-323 2 bay NAS and connected to a router; router connected to internet/PC/WD Live box...?

I'm thinking using something like the DLink NAS would basically remove anything to do with the pc since it would be separate and linked via router...?

Actually an Xbox 360 can be found for as little as $150 and MSRP at $200.

If you put the files on a NAS you should be fine. If they're on the PC you might have problems with a really resource intensive game.