so it would appear that the only values that actually work are 0.0, 0.5, 1.0, and 2.0...
i tried setting it to 0.25 since I want it to play at 1/4th of the natural s
No it's working fine for me ( xcode 4.2) on ipad 2 ios 5. I used the AVPlayerDemo from the dev resources and modify the rate property with a slider and it's very smooth, definitly no jumps. tho the behavior below 0.2 is odd. maybe the rate is not linear near the extrem values, but definitly smooth. from 0.2 all the way up to 2. I am using videos I captured with the device, that could make a difference.