Why might an Apple TV stop playing purchased content from iTunes?
The explanation I got from Apple is there is some maintenance being performed on an iTunes server this weekend, which is affecting AppleTV's ability to authorize content. Even if you are streaming directly from your PC/MAC to the AppleTV, there is still some validation with the iTunes store that occurs.
In the meantime, you can use Airplay to continue to stream content to your AppleTV. More info on using Airplay can be found here: http://support.apple.com/kb/HT4437.
TUAW is reporting that this is a known issue affecting many Apple TV users, and it does not have a fix yet.
Users report error messages preventing them from accessing and playing back content: "Authorization is required. To play this content on your Apple TV, choose Authorize This Computer from the Store menu in iTunes on your computer, then enter the Apple ID and password used for the purchase."
If your Apple TV unit is affected, you are not alone. TUAW has received many user complaints and links to sites where frustrated customers have gathered. Apple's KB support posts do not appear to be helping customers resolve these issues.
Sounds like we'll have to wait on some kind of statement or solution from Apple.