I have an old V1 (gh-004) console always showing my game backups as dvd-video in the browser. The disc drive appears to sync to the dvd-r disc great. Locks on fast, just never boots and shows me the dvd player menu after "unable to read disc". Went into the browser and sure enough, the console thinks is a dvd video. Retail game discs work fine. I do believe on occasion it has successfully booted a Game Backup.
DMS4 SE Pro running ToxisOS 0.41