One of our customers asked if he could stream through the ffmpeg folder.

FFmpeg is a software which converts video files in different formats to video files in flv format this videos are then streamed through a swf player just like the streaming of red5 videos, which are also on flv format. so ffmpeg is not to stream is to convert the file to a a format in which the video can then be streamed.
let me give you an example of the use of ffmpeg, if you go to  (login visio passw. 123456) you can upload a video what ever format, for example in wmv which can only be played on windows media player or similar and then this video in wmv is converted to flv and you can then stream it.

but there is also a difference on the stream, with red5 you have the advantage of:

The advantages of a streaming red5 server are:

    1. Users can seek to any place in the video timeline without waiting for the whole video to buffer
    2. No physical data is saved on the users PC cache, so your media files are better protected
    3. It uses less bandwidth than progressive*
    4. Streams can be combined into a single gapless stream

* This is because on average a user will not watch the entire video, but with progressive download they will still download the entire file.

Progressive streaming is the normal one, like on our demo site