It's one of those must read articles by Jan Ozer.
There's a lot of important "take aways" for me on business to consumer video compression.
For me those are:
Frame sizes would seem to be 640x360, 848x480, 960x540
with the understanding that the constraint is bandwidth cost.
The avg person has 3Mbps down (keep in mind that avg means there's a lot of people below that).
The avg Bit Per Pixel is 0.115. The number declines at higher frame sizes given the increase in codec efficiency.
H.264 dominates, leave VP6 behind (that's a personal point I keep hammering to clients. Stop using VP6 FLV).