A chance for me to contribute back a little...maybe
I just did this on my Verizon Samsung sch-1760 and it works great. This is not saving and playing videos, this is actual streaming from youtube and other sites that host video (many have whole tv shows and movies).
http://www.everythingq.com/forum/software/full-youtube-access-on-the-q-it-works-10251.html
Note that the files are changed and he links to the new files right away. The process is beyond simple and I'll help anyone that feels confused. I was confused at first thinking it would be more difficult, the simplicity is what gets ya
Anyway, I hope some find this useful or at least entertaining.