may I suggest 2 other alternatives:

1/ for more relevant video selection : http://www.VeniVidiWiki.eu is already placing videos from youtube, dailymotion, turnhere, google video ... on google maps, per categories

2/ with Google Earth 4.2, it is also possible to open .kmz files containing videos about specific topics.
As an example, here are the world capitals: http://www.venividiwiki.eu/kmz/Capitals-V1.0.kmz

feedback is welcome !

This is the first thing I thought of ...

http://www.artcom.de/index.php?option=com_acprojects&page=6&id=26&Itemid=115&details=0&lang=en

see also:
http://www.cs.unc.edu/~geom/Video/SE/

Several companies are making hardware and software right now to integrate these technologies... How long 'till they are all quietly bought up by or partnered with Google?

This is very interesting, especially for promoting public awareness in response to the world around us.