The Zune seems really hackable, wonder if that is on purpose or just laziness. Anyways, the following registry hack makes it possible to add Divx movies to your Zune player and sync them successfully. Once that is done the Zune automatically converts them to the native format which makes it possible to view them just as any other video that you have stored on your Zune player. Copy and paste the following lines into a text editor, save it and rename the file extension to .reg afterwards.
Windows Registry Editor Version 5.00
[HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Multimedia\Zune\Extensions\.avi]
“Extension.Handler”=”Microsoft.Zune.1.AVI”
“MediaType.Description”=”Video Clip”
“MediaType.Icon”=”C:\\Program Files\\Zune\\ZuneLoc.dll,-736″
“Extension.MIME”=”video/avi”
“AlreadyRegistered”=”no”
“Runtime”=dword:00000007
“PerceivedType”=”video”
“Permissions”=dword:0000000f
“UserApprovedOwning”=”no”
@=”"
Double-click the newly created file and the information that it stores will be added to your registry. You probably need to restart your computer before you can drag and drop divx movies to your Zune player.
Another method would be to rename the divx files to .wmv and add them to your Zune player. Once they appear in the library you would rename them back to .avi and sync it afterwards which should automatically convert the file and make it playable in the Zune player.
sources: Engadget and Zunescene
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