We took our videos with our little ipod touch device. You can take the video and upload it directly to youtube right from the ipod - no computer involved at all. That's a really nice feature and I love that about the ipod. But I wouldn't buy an ipod just for that.
I think there would be a market for someone to make a really nice video camcorder that can upload to youtube just like the ipod does. Or maybe some vendor should make a tablet PC like the ipod that has really a really high quality camera.
Having videos on ATP would be almost as easy as hosting the images, but the files are so much bigger that they seem to take an eternity to upload. So it's easier to put them up on youtube and embed them here. That will probably be the way to do it for the foreseeable future.
I can see making a video library at some point in the future, but we have other irons in the fire at the moment.