Have you tried mobile youtube on a handset? It's pretty bad, unless you know a trick or two (and having to know tricks to using software is also pretty bad).
First, http://m.youtube.com is worth staying away from if you have a smartphone on a 3G network, Wifi, or even better, Wimax. It works, but only delivers QCIF (176 x 144) video at ridiculous low data rates (tops out around 80 kbps). What's worse, is someone has been writing custom youtube apps to play this bad video at double the size. This makes blocky video look even worse. Nice move. Maybe the newly announce youtube premium music video site will get it right (but only if they read on...)
Now some youtube apps on smartphones have a 'high quality' mode. I tried that over Wifi on an HTC device and found the quality was worse than the dumbed-down mode described above. How can that be? Someone seems to have forgot that downloading video uses the CPU. In short, trying to playback video while downloading it (which is exactly how youtube and any progressive video site work) causes such trauma to the CPU that the video is jerky, drops lots of frames, and the audio completely loses sync. Any basic testing should have caught this, so shame on you for failing to test properly.
I had a hunch about the cause of the problem, so I started a video in high quality mode, hit pause, and waited for it to complete downloading to the phone. Then I played it back and it was beautiful. Perfect, smooth, full-screen video with audio in-sync. So why doesn't the app warn people about this problem and suggest downloading the video first for optimal playback? How hard is it to read the CPU usage? Why don't these players cache the video?
This is just another example that many developers are just plain bad at developing for mobile devices and definitely not ready to handle 4G devices. People seem to have forgotten about device constraints. Or worse, they fully embrace them and put out video chat clients that use 70kbps up and down for video for that rich, 3 frame per second experience with bad audio you are dying for. Yes, these nightmare products exist and are completely unusable.
The moral of the story is that 4G is coming and you better be prepared to handle a new breed of device if you want to suceed. Location based services, context aware applications, apps that know your wireless radio conditions and how to adjust themselves properly (all topics I write about)- these are the new tools required in the holistic programmers toolkit.