Well, I’m still looking at the video support. So far it looks like it is only able to use video converted by the Sansa Media Converter (like the other Sansa players). It’s MP4 but not a standard I can identify. The media converter is powered by interVideo and as far as I can tell, you need to convert all your existing MP4 files to use on your Sansa… this is unconfirmed though.
I was able to convert a WMV file and put it on my Connect but not through the software. The software converted it and I had to copy it onto the device with Windows Explorer.