#Here is the command line script you need to run to generate the stream.ts files and the prog_index.m3u8 playlist file


/Applications/VLC.app/Contents/MacOS/VLC -vv dvdread:///dev/rdisk2@1:1- --intf=rc '--sout=#transcode{width=320,height=240,fps=25,vcodec=h264,vb=256,venc=x264{aud,profile=baseline,level=30,keyint=30,ref=1},acodec=mp4a,ab=96}:standard{mux=ts,dst=-,access=file}' | mediastreamsegmenter -f Sites/stream -D

#Here is an explanation of each part:


/Applications/VLC.app/Contents/MacOS/VLC
#this will open vlc and allow us to start entering more command line inputs

-vv
#sets the verbosity level - verbosity is the amount of output - vv will allow us to debug 

dvdread://
#tells vlc we are going to read a dvd

/dev/rdisk2
#tells vlc which disk drive to read from - mine was 2 yours may be something else

@1:1
#tells vlc to read the dvd at title 1 chapter 1
#you may need to adjust this for other dvds

--intf=rc
#tells vlc to open the command line interface remote control

--sout=transcode 
#tells vlc we are going to start encoding the stream out

width=320,height=240,fps=25,vcodec=h264,vb=256,venc=x264{aud,profile=baseline,level=30,keyint=30,ref=1}
#these are video encode parameters
# width, height, frames per second, video codec, video bitrate, video encode and x264 parameters

acodec=mp4a,ab=96
#audio encode parameters
#audio codec mp4a, audio bitrate

standard{mux=ts,dst=-,access=file}
#output method
#output muxer = transport stream, destination will be set later, type of access is file

mediastreamsegmenter is the apple built in
command line command for an http live video encode

-f tells command line to interpret Sites/stream as a file 

-D starts it as a debugger