iPodME is available to convert AVI files into MP4 so that iPod and iPhone user can use them on their gadgets. The program is very light and needs no installation, the single executable file is under 3MB the size. The interface is very simple to use. You just need to drag and drop movies into application that you want to convert and choose options from screen; it will then convert your files.

So this is a must have application for iPhone and iPode users and other users looking to convert avi to mp4. The resultant files are created in same folder as iPodME. It can also shut down your computer after encoding (so great for night uses).
So go on iPodME website and give it a try.
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