Highbandwidth Video Streaming

I was just wondering if anyone has had any experiance with doing video streaming that would involve some high bandwidth...

Basically, what I want to do is to create a linux/apache server that can serv up about 10 threads of divx (mpeg4) movies at 'broadcast' quality (or a little less depending on what is exactly possible).

At http://www.projectmayo.com they are developing an streaming format like this, but I couldn't find any specs exactly on how much bandwidth a highquality stream would take up.

I'm on a college campus w/ 100mbps between dorms, and 10mpbs to the residence rooms.(my server would be plugged in directly at 100mbps)

Legal side:
The "Student Activites office" purchases movies that are allowed to be broadcasted across campus (the show them in the public lounges) ((and we don't get cable in our rooms)). So what I'm interested in is - if it is legal to show these movies that way, why not take the DVD's, convert them to Divx format (high compression and lower size), and then stream them to residents.

If anyone has any ideas or experiance with this type of thing (or can flat out tell me that it wouldn't work and why) I'm all ears!

Thanks!

Dave

http://www.projectmayo.com