I don't know what he actually meant - maybe he was referring to the differences in HDMI implementation in the WD media player and the TV !
BTW did you try with the composite input from the WD TV? Does that work?
Are you able to connect the same HDMI cable to any two other devices and have it work?
Have you updated to the latest firmware on both the TV and WDTV?
Yes, I tried with composite it is working, also the same cable is working at my friends place
Even I updated the WDTV firmware about 2 months back, when I saw this problem
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