-facepalm- Nintendo's too ignorant about YouTube and it's too late. The 3DS is out but still can't go on YouTube. In other words, Nintendo hates YouTube.
From what you said, I`d like to point out that the Nintendo Wii`s internet browser handles Youtube. In fact, the Wii Internet Channel handles Youtube pretty well, actually. At least, considering available memory it does.
<br>That being said, I believe our solution would be a full-fledged Youtube app for the Nintendo DSi and 3DS.
<br>The browsers, from what I read on more than one web page during my research on the subject, can`t handle the flash required to watch Youtube videos. But, a regular Youtube APP could ve designed woth all the things necessary to watch Youtube, with potentially PLENTY of space left over.
<br>Of course, this is only a theory. If someone could, please somehow send this idea over to a high-ranking Nintendo official. If someone does, thank you in advance.