Aurender N100 v AIR

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Actually I would like to get rid of my NAS if I go down the other route. I presume I could do this and then get a WD My Passport and do back ups every week or so.

Yes, I expect so, depending on the firmware in the player.  I had a quick look at the manuals for the Melco N1A and the Aurender N100 and it looks as though it should be pretty straightforward to back up either of them to an external drive (probably a bit easier on the Melco, if i understood it right).