bay24:Andy Clough:
Hi bay24, yes your computer does need to be on if you're streaming Spotify via Airfoil. It works seamlessly and I've had no issues with it so far. BTW, to the best of my knowledge Apple TV doesn't support NAS devices.
Yes, I did have some issues with video streaming over my home wi-fi network, as mentioned in my blog, with picture judder and freezing. Obviously a hard-wired ethernet connection would be better from that point of view, but it simply isn't convenient in my house as the router is on the top floor.
The lack of TV shows to stream may also put some people off, along with the absence of a hard drive for storage, and it's worth noting it won't handle DivX video files, nor lossless FLAC files.
But by and large for £99 I'm very pleased with my Apple TV, and it's a convenient solution in an all-Mac household. But I'm well aware other, perhaps more flexible, options are available if you're not a Mac fanatic like me.
So does it mean your computer needs to be on to access content from your iTunes library?
Yes it does. However, once Apple issues the iOS 4.2 update for iPad/iPhone/iPod Touch (hopefully tomorrow), you'll be able to stream any iTunes content on your Apple portable to the Apple TV using AirPlay. So in that instance, the computer would not need to be on.