[iclickjohn]

OMG. YES. xda developers.... search for youtubeplay.
Stand alone software that ends up in your programs folder.
I've seen youtube mobile on my old phone with HTC mediaplayer. it sucked so bad (low resolution) and this is SHARP. you can also save the file. way cool.
you also need to download the windows NET runtime, the link is there as well.
when it starts playing tap the picture for full screen.