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Splitting Content into Two Columns, e.g. Word Wrap with PHP or CSS + Javascript
That's something Microsoft would do though, oh wait they already have with the XBOX 360. Only on the 360 they opened it up just a little, it only allows streaming of WMV files from only a WMCE computer. The WMCE Extenders are the same.
If Apple where to apply any restriction it would be MPEG-4 streaming, which isn't too bad but as you speculate just H.264 would suck. But then again it won't happen that way.
At the same time, I wouldn't be completely surprised if they did try something like this, though. Evidence of Apple's behavior suggests to me that iTunes only plays MP3s because MP3 was a widely adopted standard by a significant enough number of consumers (and device manufacturers) that they could not ignore it. I don't think you could make the same statement today about video file formats.