Which CPU?
Choosing a CPU boils down to whether video encoding is done using hardware or software (any 2GHz+ processor). Both have their advantages:
Hardware: uses power, creates more heat, ability to do multiple streams at once, no need for full-duplex audio, ability to burn DVD
Software: cost, quality, file size, faster transcoding and commercial cutting.
Although an intel celeron would fit the bill nicely, we picked up a intel 2.2Ghz E2200 dual core CPU with motherboard for $79 for this build.
Other CPU to consider are the Atom by intel or VIA's Isaiah/Nano Processor, both of these chips are good contender, they consumes low power and therefore creates less heat, they are very small and will fit into just about any homemade boxes, the downside however is it's size which limits on expansion slots for future add-ons/upgrade. (generally 1x PCI slots and 1x memory bank)
Next, we look into CPU cooling choices, there are water cooling, heatpipes, thermoelectric and passive. One of our goal is to build a HTPC system which runs quietly, we plan to remove anything that makes noise (cooling fans) if possible, in this case, we will remove the standard intel cooling fan with an alternative.
Next >> Selecting CPU cooling method
AMD
