Unfortunately John is entirely wrong, about Firefox at least. Firefox does not buffer the entire media when autobuffer is not present. I don't know how he came to that conclusion, but just check out this page as an example:
http://pearce.org.nz/video/bunny-poster.html
Note that the progress bar on the controls does not turn to a lighter shade of gray until you press play - this means Firefox isn't buffering data unless you press play.
John's blog post is wrong.