I tried it a week or two ago and the results were not good via streaming.
Besides to get youtubes on your PS3 is a piece of easy peasy nice and squeezy.
Just download a program that allows the copying of youtubes to your computer. Put that file into a MPEG4 converter and copy it to your hard drive. I have about a dozen on mine already. Youtubes are lame quality though, be warned.
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