Per the Documentation:
"If you want more control over your video SEO (and/or are using DNS masking), you can create your own video sitemap. A video sitemap is basically an XML file that contains the location and metadata for all videos on a particular site. These sitemaps can be provisioned to Google's Webmaster Central. Google will then add the videos to its index."
I am reading this to mean that I can continue to use DNS Masking (CNAME), create my own Google Video Sitemap via the PHP SDK, and Google WILL index our videos.
True?
Gregory
That is correct, you can submit sitemaps to Google this way. Of course this will not guarantee that your videos will also make it to the index or how high they will be, as the ways of the Google are unfathomable.