I have to develop a Playout server; in other words play the video files and do text/image overlays on the fly. I was evaluating different options. I had almost decided on desktop player built using Adobe Air. Then I came across Xuggle. It is "A free open-source library for Java developers to uncompress, manipulate, and compress recorded or live video in real time." They have such cool demos. It looks promising. I am gonna give it a try!