A recent article in Law Technology News covers the cloud-based deposition video storage, display and designation clip-editing service provided by YesLaw. It is a browser-based repository system, offering differing levels of functionality based upon the detected device. You can prepare depo clips from your PC, while you cannot with the iPad. YesLaw shared that they are using Flash for the PC and MPEG-4 to play on the iPad. In addition to depo video, they offer a document repository service.
The video quality is pretty good, but everything depends on your internet connection speed. While you could certainly host everything and make it available to anyone needing access prior to trial, when you actually begin preparing for trial, you'll need to get the entire files one way or another. Simply grabbing a few clips won't work - you will need all of the video files. One last-minute ruling can put an end to your movie-time if you cannot edit it immediately. And, you surely won't want to display it in court while depending on an internet connection.
That stated, as long as the pricing makes sense for the amount of access and number of users required, it eliminates the need for multiple mass coffee-coaster (DVD) distributions. For a case that doesn't go to trial, this may save quite a bit of money, along with filing space. On the other hand, for the case that does go to trial, it may increase overall costs, since now you've added a period of hosting fees to the balance sheet.