The idea here is that 'Smooth Streaming' allows for an instant start to watching your video with no perceivable buffering, with the picture quality dynamically changing according to the bandwidth conditions. Should you have access to a sustained five megabits of bandwidth between you and the server, Microsoft promises a full 1080p video stream with 5.1 surround sound. If those conditions change for the worse, the stream dynamically switches to a lower quality, lower bandwidth version without skipping a beat.
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