spider, until there is a converter coming along, maybe you would like to try these, as far as i remember my friends telling me, they are freeware:
Videora Converter is currently available for the following devices:
http://www.videora.com/en-us/Converter/
- Videora iPod Converter - A free video converter for the 5th generation iPod's from Apple.
- Videora Apple TV Converter - A free video converter for the Apple TV.
- PSP Video 9 - A free video converter for the Sony PlayStation Portable (PSP).
- Videora TiVo Converter - A free video converter for the Series 2 TiVo.
- Videora Xbox360 Converter - A free video converter for the Xbox 360.
- Videora PMP Converter - A free video converter for the PMP format playable on v1.5 PSPs.
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What is Free iPod Video Converter
http://www.ipod-video-converter.org/
Free iPod Video Converter provides an easy and completed way to convert all popular video formats to iPod video. You can enjoy DVD/VCD and AVI, MPEG, WMV, RM, RMVB, DivX, ASF, VOB video files in your iPod with few clicks. The program is a freeware and does not contain any form of malware, including but not limited to: spyware, viruses, trojans and backdoors.
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http://www.paehl.com/open_source/?Convert_Tools:Convert_your_Video
good luck!