I have the same problem. I have 3 days of FS7 MXF footage to sync and the VIEDO CODEC UNAVAILABLE icon is displayed in the TS Studio software.
As i do not have any Apple Pro Video Apps (I only have Adobe PPRO) on my computer it wont let me install the AVC intra codec required. I have so far been unable to find a site that to download it. It seems to be the case that even if I had the codec TSS does not support it (?).
The work around you imply above is exporting the XML for PPRO is not great as you can’t see what you are syncing (no codec) in the sync map window. And when you import the xml back into PPRO it is the entire number of batch converted files/sync map you have imported/exported rather than individual files using the MEDIA method.
I would love to see AVC intra supported. I work with FS7s a lot.