You should try to copy the *.avi on the hardrive of your computer and see if the problem still occurs.
When you compress a video file, you've to choose a codec, there are many of them !
Some videocards are able to decode some codecs with their onboard chips, for others codecs, the CPU of your computer has to be used. Depending of the codec used for the encoding, the CPU of your computer will be more or less sollicitated.
Sometimes, it's better to have a 20 GIG video files uncompressed instead of a 2 GIG files heavily compressed, it will spare your CPU. It's good to know if for example you mix a movie, or a documentary and you need to save CPU. (=more plugins available for the mix)
Be aware that each time you recompress, you loose quality.
Some codecs are better than other. In use "Indeo". To me it has a good ratio quality of compression / load of the CPU.
What kind of computer do you have ?
Your Phillips player is it an external one ? If it's USB, be sure it is not connected on USB1.
eD)))