I have been looking for a simple way to watch movies on my PocketPC. Admittedly I haven't dug very deep for a suitable solution. It seemed too complicated to mess with. But now I have found the easiest way to transfer DVD's to your PocketPC. Pocket Divx Encoder is absolutely idiot proof. It is a program for your pc that will format DVD's to watch on your Pocket PC. Now it may not have all of the bells and whistles that other programs have, but it's freeware. To watch the files on your PocketPC, you will need a viewer. Betaplayer is your basic movie file viewer. It works great on my asus 620. You will need a pretty hearty memory card if you want to have more than one movie on you pocketpc at a time. "Undercover Brother" (one of the funniest movies I"ve seen in the last few years) took up 96MB at a pretty low quality setting.
Overall the process was fairly easy and much less complicated than I thought. If you have any questions, post in the comments section.