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FLASH (FLV, SWF newer formats) and MP4 formats.
The Media Plus web part can also display YouTube video clips and playlists, Vimeo videos and streaming media.
Sometimes, in order view file types not supported by the client computer, you may need to install the appropriate codecs. Video codec files are available freely at www.free-codecs.com.
Set the permissions at the library level or specifically in file level (standard SharePoint permissions).