My Raspberry Pi 2 is working great as a media player. I threw OSMC on it (a Linux distribution specifically for Kodi with specific support for Pi's) and it is essentially flawless. It has no problem with high bit rate H264 videos. The lack of gigabit Ethernet isn't an issue. 100Mb Ethernet can easily stream raw Blu-Ray video (not that I've tried that with the Pi 2).