Video embedding

I see Flash games with lengthy video cinematics all the time. Here’s an example of a game which has its intro video start right off the bat. I presume these games embed the video because loading it externally and starting the video before it’s fully loaded would create problems like the video having to pause and buffer if it miscalculated its loading time. But the documentation stresses over and over again how embedded video should be no more than 10 seconds in length and should not include any audio. Should I just ignore that? Anybody have any experience with this and/or tips?