Perhaps it is a conspiracy to get people to upgrade their AP's (thanks Intel!).
I've got Windows 7 and Media Portal front end installed on it with a backend TV server located separately and it works a treat. Streams 1080P over Powerline Ethernet (500Mbps) just fine.
I'd be interested to know if other NUC users are having drop out problems with their Wifi and if it works well for them what brand/model of AP they are using.