I think it fixed itself. Agree, it's wonderful that we can easily add video.
Great idea to get your students involved. I'm thinking along the same lines. I teach an intro stats class. They will be doing a pretty open-ended class project at the end of the year (starting in about a month). A few weeks ago, I showed them the film A vision of students today, by Michael Wesch and his spring 2007 students. In our discussion afterwards, I suggested that a good way to combat the irrelevancy of education today is for students to help generate the content, So, one option for a final project is to leave a legacy, that is, create something to help others learn statistics (a lab, an applet, video explanations...).
We now have the option to use the Rich Editor for editing purposes. I think many digital natives would find this pretty intuitive and might not even need much training. But there is training available, WikiEducator Rich Text Editor Tutorials, if needed.