By PS3 Media server, I mean the package, rather than an actual PS3. It's a uPnp server. My XBox can see it and stream from it, but the Coherence plug-in of RhythmBox does not seem to be able to. I suspect it may need a new renderer configuration. Has anyone run into this problem and resolved it? I also had the same problem with x360mediaserver, a similar server side package.
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You may be seeing something that I am seeing, albeit from a different source (see question here). I was not able to see a uPnP share on my Win7 box with 10.04, but I was able to get it slightly working once with 10.10.
I have a large music share, and I am thinking that the uPnP plugin just isn't that efficient or fully baked to handle it.
I would try 10.10 and maybe your luck will be better.
Assuming that you properly installed FFMpeg and VLC on your system, I would go into the PS3 media server encoding properties and make VLC encoder the default encoder for both audio and video for "streaming". This means you move VLC to the top of the list in each category in the configuration user interface. Not sure if that will help you but it is worth a try or at least to double-check . I had some problems with my initial configuration because I had VLC as the default video streamer and MPlayer the default for audio. My Google TV didn't like that (when streaming from Ubuntu 10.10).