I am doing it with MP3s and Replay TV. All I have for the interconnect is a garden variety CAT 5 Ethernet LAN. I have one machine (PC) that is always on. That is a FAX server, hosts my weather station site on the net and acts as a file server for everything, including the MP3s. The players are DOS based MP3 players. The TV is handled by the ReplayTV DVR but D&M (the owner of ReplayTV) also sells a software solution that runs with Media Center.
You should be thinking about digital TV anyway. Analog is supposed to go away a couple weeks after the new president is inaugurated (Feb 2009)
