It was probably amazing because he was using it over WiFi, with much higher bandwith.
It's unavoidable that any YouTube client over a highly compressed EVDO A stream isn't going to look or perform as nice as the same video on a WiFi connection.
It's the fact that every mobile device without flash gets the same craptacular 3GP mobile stream (dumb phones, smart phones, EVERY SINGLE BB EVER MADE with and without WIFI) EXCEPT for the iphone. All other devices tap the same 3gp stream.
What we NEED is skyfire with its flash support so that we can just browse the youtube site (and many other flash sites)