My first thought is that requiring a specialized app to view videos on your site is a waste. Wouldn't it be easier to optimize a mobile site and make sure the content is compatible?
My second thought is having an app that would interface the phone to the Flip to allow videos to be uploaded on the go or even live streams would be more useful.
I don't know why people think Flip is done. They take great video, dead simple to use, and are pretty cheap. The video from my Droid Eris can not compare to my Flip.
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