i am looking to build a hTPC an have come to the point of picking my components. My plan for this computer is to locate it in my office with my 22" moniter and stream content to my ps3 which is hooked up to my 1080p TV. My question concerns the function of the computer when streaming to the ps3. If i have a internet video source i want to stream through wmc or some other portal, is that video upscaled and processed by the pc before it streams to the PS3 or does the PC just act as a portal for the PS3 to access the video.
I'm not sure I get exactly what your saying, but I'll take a stab at it. You're talking about an internet video source (like a netflix movie or a hulu tv program) and streaming that to your PC, then streaming it to your PS3?
To answer your question, I don't think the video would be processed by the PC, it may act as a "portal" as you say. What's really happening is the video files are being downloaded to your pc, then sent back to your wireless router and fed to your PS3. I would not do it this way, however because I think you would be adding latency and would have a poor video experience, choppy or constant stalling, stopping, buffering.
I would either use the PS3 to access the video directly if possible, or dl the video to the PC, then stream to PS3. The PS3 has a browser and can access some sites, like netflix while it is not very good at accessing some others. However there is a tool called ORB that enables you to use the PC to stream video more easily to all your connected devices. You might want to go visit ORB's website: http://www.orb.com/
It will also download a little utility for your PS3.
I recommend if you don't already have an n-speed router you start looking at some for HD streaming. Most video aficionados I know say wireless G doesn't quite cut it.
I will be streaming content i receive from the internet on my htpc to the ps3. Currently i am using a service call TVersity to do so. My question concerns whether or not the PC manipulates that content before sending it to the PS3 or does it just send the content untouched.
Well, there should be settings in TVersity. When I used it, it was to feed my xbox 360 some video before I had a full HTPC. The computer absolutely does process it. That's the whole point of using a program like TVersity. It transcodes whatever it is you're trying to watch into one of the like, 3, formats that the end device can play. When you look at what's available on the console, it sees a list of files that are friendly to it to play. This list of stuff doesn't really exist anywhere. When you select one to play, the computer immediately starts transcoding to the appropriate format and outputs. As such there are many options for buffering how long until it starts playing, and how much bitrate it should give the streaming file.
Back when I used TVersity, it wasn't capable of doing netflix or hulu. It may also have post-processing options, just look at what's available.
I just have a full HTPC that was built out of all the previous parts after an upgrade. It's got a 4200+ dual core CPU. So I don't need any of these feeder programs. TVersity was the last one I used though.