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As I see I'm the only one to comment on this post so far, I have to say, Mark, you think too much of yourself when you're troll baiting.
Thanks again, Michael, for a great post.
Regarding the comments about YouTube... having used hulu for a while what is clear to me is that Hulu and YouTube are entirely different experiences with different goals. I use the two servies in entirely different ways. Since I got into hulu I have dropped my cable subscription - I'm saving close to $100 per month. I watch what I want, when I want. I get my favorite shows. I get to see new shows. I get to see old shows I loved when I was growing up. What more do I need? If hulu wants to increase the quality of their video beyond where it is right now - who am I to argue - great make my viewing experience even better. It's free - what's to complain about.
Initially publicised back in August the Moviestar plugin should see many online video sites switching to H.264 content due to the superior viewing experience. But will YouTube convert their many millions of videos to H.264 or just use H.264 from this point forward?
Hulu's not quite the first either. Here's a site already using Flash player to show QuickTime MOV files encoded in H.264:
http://www.kapitalmototv.com/flash/
I also think Hulu's HD initiative is premature considering the bandwidth available to many home Internet users. Just how long will it take to buffer files a 2.5Mbps!