the cool ones are called kvcd.
I don't know how they're made, the only ones i've ever seen were downloaded as kvcd's already.
But they're a single CD with the ENTIRE movie on it, and it looks WAAAY better than a video cd (which only holds 1 hour)
Like i said, tho. The best way to go is a divx certified dvd player. Then you can fit the entire movie onto a cd, or 6 movies onto a dvd, and the quality is near-dvd. Especially with the new divx-6 codec. Much better than the old divx 3.