Earlier in the week at D5 conference Steve Jobs showed off an Apple TV with the ability to show videos from YouTube. At the time Walt Mossberg raised the question of quality, Steve Jobs assured Walt that things would improve over time.

YouTube on the Apple TVYouTube on the Apple TV

iLounge took it one step further, the site spoke to Apple Vice President of Worldwide Mac Hardware Marketing, David Moody who provided further details.

According to the executive YouTube videos will not all be available on day one, he stated that “thousands of videos designed for Apple TV” will be available with the remainder following in the Fall.

YouTube is apparently re-encoding all the videos into “H.264 streaming-efficient compression format” designed for the Apple TV.