The site looks good and I love the demo. I think it's gutsy that you guys have the demo cam showing yourself. It's definitely a refreshing idea.
I do notice a few small problems:
1) when you go to demo page and actually view the demo cam streaming the user information menu up top (Login/Register etc.) looks fine. But going from demo page to the home page once more somehow shows the menu as "logged in"--the menu says Logout, even though you shouldn't be logged in to see demo. In any case, it must be something to do with session or the simple loggedin/out logic.
2) In the demo page, dialog box on deleting cam or adding cam will actually be covered by flash. This is a pretty common issue and I believe the solution is to set the flash w-mode: opacity or something of that sort. It has been a while since I worked with drop down menu and flash :)
A suggestion: instead of control buttons of up/down/left/right-- you can definitely add immediate improvements to the experience in 2 levels:
1) bound the keyboard shortcut which should be quite simple. Just trigger the click even on the appropriate button. Don't forget to have a small delay so you don't crash the darn device
2) enable dragging of the video: I'm "thinking"... when the video is loaded, cover the video with a low opacity div (1px gif of 0 opacity?) then bound a mouse listener to the box. Again, you can move the cam according to the mouse movement by checking mousemove and then on delay trigger the click even on your already bound control button. In fact, the easiest would probably have 9 div arranged in this manner:
[1][2][3]
[4][5][6]
[7][8][9]
if mouseenter 5 do nothing... if mouse enters 1 trigger left+up button click, 9-down+right, 8-down and so on.
I hope this makes sense. I'm simply looking at the demo and assume the real experience is probably the same and could be improved.
Other than that, things look great. Best of luck to the team!
-V.