In these threads I always see people saying "don't use all in one apps. they make shit encodes" and the like. This simply isn't true these days.
I've been doing encodes on and off few a few years, and have used various different combinations of apps. Until recently I always went through methods described in tutorials at doom9.org. But recently I decided to try some of the all-in-ones that people mention (specifically vidomi and dr divx), and was really quite surprised. The two to look out for are Vidomi and Dr. DivX. Both produce very high quality output with the absolute minimum of fuss.
Oh, but having said that, I'd still like to see DVD2XBox being able to do divx or xvid encodes
I see and understand the many reasons given as to why it's a bad idea, and I still think it would be worth doing. It wouldn't have to be overly complex. Infact it could be as simple as using a set bitrate (reasonably high), with no resize or crop, and keeping the original audio without compression. If you're going to be storing the rip on the XBox you don't have any issues of how many CDs it fits on to worry about anyway. You just want something that takes up less space than the whole DVD.
My guess is a normal length DVD might take somewhere like 8-9 hours to rip and encode on an XBox. That's about one night's sleep. So you could pop in the DVD, load DVD2XBox, press the RIP and encode button, and have an AVI on the hard drive in the morning. None of the excess fuss of the alternate which is ripping the DVD to the XBox, ftp'ing it to your computer, loading the encoding software, setting up all the various options, then ftping the AVI back when it's done.
I realise there'd be a considerable amount of work to do to get something like that built. But that (and absolute ease of use) are why I suggest making it not have any bitrate, crop, resize etc options. It'd reduce the coding complexity somewhat, whilst keeping the end user experience as clean and simple as possible, and still producing high quality output. It'd be the same as the audio CD to ogg option DVD2XBox has right now.
Just my 2c anyway. Flame away