To complete the setup process, you’ll need to configure some options for how you want Media Center to work with your Xbox 360. There are two options to consider.
First, you can turn Away mode on or off. Away mode is a special power mode for your computer. When the computer becomes inactive all audio is muted, video is turned off, and input devices such as the mouse and keyboard are turned off. (This is so that your computer isn’t woken up just by children or pets walking across the keyboard.) At the same time, the computer still listens on the network for Media Center requests. If a Media Center Extender attempts to connect, the computer wakes up to accept the connection. This saves energy while making sure your computer is still available for the Xbox 360 to connect to it, in case you decide to use Media Center on the Xbox 360 while your Windows PC is idle.
Second, you need decide whether or not the Xbox 360 can access the same media you see on your computer (see Image 5). This is recommended if you have video and pictures in your own personal folders that you may want to display from the Xbox 360. When you click Next, Media Center finalizes your settings and configures the Xbox 360 to connect to Media Center on your Windows PC (see Image 6). Next, you’ll see the Xbox 360 change to a Connecting screen while Media Center finalizes your settings.
If the Xbox 360 is connected through a wireless connection, the configuration process is not over yet. Next you’ll have a chance to tune your network connection so that you get the best possible video out of your Windows PC over your home network. This is a very important step, and you should not skip it.