- make sure you have a good connection
- video should be compressed for streaming (makes a huge difference)
- play with your bufferTime parameter to get an ideal setting
- crate a player with code and dont use the UI component. Youll have more flexibility: http://blog.martinlegris.com/2008/06/03/tutorial-playing-flv-video-in-plain-as3-part-1/
caveat, longer buffer will allow smoother playback, shorter will seek faster but the tradeoff is it will hit the buffer more often... not ideal