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I'd simply:

- ignore older browsers (today practically all browsers support the video tag, caring about older browsers in this context is like caring about IE6, i.e. it's bad).

- stick with a compromise solution (H.264, yeah that's sad, but until Daala will come this mess will remain, but now Firefox already supports H.264 easily, so it's not a problem anymore). If the space allows it, I wouldn't mind encoding in both WebM and MP4, just for the sake of supporting free formats.

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