Ironic considering I just talked about this issue recently, but it seems several folks are having issues with their Apple TVs when using Google Public DNS. I reverted back to my ISPs DNS servers here and have noticed far better performance, even though by some accounts I shouldn't be. Go figure!
Last night we tried to rent an iTunes movie on our newish Apple TV. Instead of starting right away, the Apple TV said it would be 2+ hours before we could start watching. I’ve got a healthy 15-20Mb/s connection and a clean wire to the Apple TV, so this shouldn’t be happening.
A little bit of research turned up a surprising fix: Don’t use Google [Public] DNS.
I suspect a Google TV conspiracy. They want their boxes to look like they perform better than Apple TVs. Yeah, that must be it.