We haven't had any issues at all (running this setup since December 2011). Encoding.com has been running since October 2012. They have a feature where you authorize them for an S3 bucket and create a rule that any new files placed in that bucket will get converted based on a config and then uploaded to a different bucket. So when we have new videos, we upload them to one bucket, and within minutes they get converted to webm, ogv, and mp4 and moved to the hosting bucket. The app reads from Cloudfront for either progressive download for HTML5 video, or streaming for Flash. Pretty easy to set up and 0 ongoing maintenance.
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We haven't had any issues at all (running this setup since December 2011). Encoding.com has been running since October 2012. They have a feature where you authorize them for an S3 bucket and create a rule that any new files placed in that bucket will get converted based on a config and then uploaded to a different bucket. So when we have new videos, we upload them to one bucket, and within minutes they get converted to webm, ogv, and mp4 and moved to the hosting bucket. The app reads from Cloudfront for either progressive download for HTML5 video, or streaming for Flash. Pretty easy to set up and 0 ongoing maintenance.