What the Future Holds
The HTML5 video and canvas elements together represent a strong challenge to Adobe Flash, the established platform for delivering video and interactive content over the web. It is a long-term challenge because Flash isn't going away anytime soon. Its installed base is too large, especially considering in-house corporate applications tied to legacy versions of Microsoft’s Internet Explorer. Flash also has Digital Rights Management (DRM), an important area that won't likely be addressed in the HTML5 specification for several more years.
Over the long term, however, the open HTML5 standard will provide more opportunities for web developers to build fun, creative applications. To get a sense of where this is going, search the web for "HTML5 canvas demo." Here are some resources for further exploration: