The technical analysis is sound -- technically, WebM is not as good as H.264. But considering it's mostly for cat videos, it doesn't really matter. The super high quality stuff will take an extra minute or two to download, but you won't have to pay a licensing fee for it. The movie and the hardware and software that play it will be much cheaper. A compromise, yes, but not a really difficult one.
The super high quality stuff will take an extra minute or two to download, but you won't have to pay a licensing fee for it. I'm not so sure about that. Yesterday's analysis seemed to predict some questionable usage of H.264 bits in the encoder.
Google could always also just buy the patent, if it turns out to be a problem. Basically, I am not ready to dismiss this yet. I trust Google's legal team over one H.264 programmer.