I am trying to set up my NAS to work with my Apple TV 4K and I have encoded many videos as MP4's and encoded them in the H.264 and H.265. I have them in what I am guessing is the right format for Plex as I can watch them all through the web version of Plex. When I open the Plex app on the ATV 4K I see all of the media there, but when I try to watch anything bigger than 1GB after a few moments of "working" and error appears stating that "Playback has been terminated by the server, not enough space for the conversion." I am wondering if I am doing something wrong as these files should already be formatted and encoded to just play directly from the media server. I have tested the videos with VLC on the ATV 4K and they play almost instantly without any issue.
I know that the ATV 4K only came out this week and the information or app even might not be updated, but I have never used Plex before with an Apple TV, so I don't know if I am doing something wrong in the formatting, settings or something of that nature. I have checked on the capability of my NAS (Western Digital My Cloud EX2 Ultra) and the processor does not do transcoding, only remuxing, which I admit I am not familiar with. I followed the Plex help about remuxing, but even then the file did not work. All this makes me wonder if I am just not setting things up correctly. I can understand that in previous versions of the ATV there were issues with encoding in H.265 and Plex had to transcode them to H.264, but the files are already in that format.
Any help would be appreciated.