Looks cool, great idea, havn't seen anything like it. The video doesn't seem to be covered by the preloader and just starts when it's loaded (took about a minute with my 56k modem) - good controls and no wait. The downside is that the loop is pretty small and short.
Guess most people are still testing FX and are still working on their first video in flash projects, so that site may be one of the first around altogether.