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Oh, BTW, the panels while it's loading are aweful. It's not what they say, it's that they exist at all. Nobody wants to wait like that. Stream a fucking .FLV, m'kay? It'll should start immediately and buffer.
The second reason this is bad is that it breaks the common usability factor that surfers are used to when wathing embedded video. They expect it to act like YouTube (which is streaming flash), loading immediately, with a play and pause button. People don't like to wait and don't like to take the mental time and energy to figure out something that they're not used to.
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