Takes a very long time to download and there is no progress bar that tells me how far along it is. The lack of a progress bar makes it bad. I have no idea if this will take 2 days or it will be done in a minute. Pushing play also locked up my browser.

And why use Theora? Most clips are MPEG-4, reencoding to theora will cause quality loss, so your video player will always be associated with poor quality.

You have a very good idea, but there are a few major flaws.

What applet are you using? Did you program it yourself?