Someone came up with a decent xvid/divx player for the iPad, and it’s even free. CineXPlayer seems to totally rock, in my limited testing so far. It lets you load movies via the iTunes file sharing system, doesn’t require pre-conversion, supports seeking forward without losing audio sync, resumes from where you left off. Once I get home, I’ll have to thrown some more unusual avi’s at it, see what it makes of them.