I'll use a recent run I did as an example for this next point...
http://uk.youtube.com/watch?v=QpUqR182HoIIt seems like Youtube has decided to stop making videos look shitty when encoding them... and just dishes out two encodes of the same video.
Click the little monitor and set it to high, and you'll see that the quality of the video is really strong now. While giZm's little thing was a great bypass, it isn't necessary anymore.
Just a heads up, hope this helps you guys.
Oh... just to clear up something before he says something about it...
well, i just found this out, and apparently it works on any youtube video. If you want to watch a video in high-def, just add &fmt=18
Yeah, it's basically this.