Hello Jeff. I'm thinking the encoding is for the DVR although it is also used during playback during live television as well. I'm thinking that over the air digital is broadcast in MPEG2, but you know MS has to have their way, therefore anything recorded in Media Center is re-encoded into DVR-MS files. For that reason you would need a hardware encoder to work on the fly to re-encode that raw MPEG2 signal coming into your computer.
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Hello Jeff. I'm thinking the encoding is for the DVR although it is also used during playback during live television as well. I'm thinking that over the air digital is broadcast in MPEG2, but you know MS has to have their way, therefore anything recorded in Media Center is re-encoded into DVR-MS files. For that reason you would need a hardware encoder to work on the fly to re-encode that raw MPEG2 signal coming into your computer.