About Apple TV Jailbroken
If an Apple TV device is described as 'jailbroken,' it has been reconfigured by a third party to run applications and software that were not originally installed, activated or supported by the manufacturer. Apple operates their own App Store that runs from the iOS platform, and the jailbreaking process allows the user to obtain applications that operate from other standards such as Android. Although this process can technically invalidate the warranty, it is usually possible to 'flash' the internal software and return the Apple TV box to its original factory settings in a type of 'recovery mode.'
A popular form of software to run on a jailbroken Apple TV device is the XBMC media browser application. This is an open-source product, and as such there are a number of different channels and applications to download within the actual software. Within a user's own network, it can be used to organise media files on a number of connected devices, and add-ons can be downloaded that make the box compatible with a variety of different file formats - this can be particularly useful for the more obscure types of media encoding.
Owners of existing Apple TV devices can use a service to jailbreak their own product, and this is useful for users that have an Apple TV with the appropriate version of the internal software - this can be checked and verified prior to obtaining an unlock/jailbreak. At the same time, less technically-minded users may also be able to use a service that pre-installs the most popular Android, XBMC and Video On Demand apps, and this makes their newly jailbroken device ready for use.