Ipod Video in Ubuntu Using vlc and gtkpod

I had some difficulties with the other ipod video method, so I tried with VLC. Here goes:

sudo apt-get update
sudo apt-get upgrade
sudo apt-get install vlc

1. Run VLC
2. Click file > Open File...
3. Where it says "Browse" on the upper right, pick the file you want to convert
4. Under "Advanced Options" at the bottom check "Stream / Save"
5. Click settings
6. Under outputs, check "File" and choose the filename
7. Change the encapsulation method to "MP4"
8. Under transcoding options, check the video, and make sure its set at "MP4v" with 1024 bitrate and 1 scale (as pictured below)
   
9. Check the audio, and make sure it is "mp4a" with 128 bit rate and 2 channels (as pictured below)
   
10. Click okay at the bottom, and then click okay in the "Open..." window
11. Your video should begin encoding!
12. The resulting file can easily be transferred with latest gtkpod, or installed with automatix