That's a big no-no on AppEngine.  AppEngine is designed for
lightweight HTTP requests.  Video transcoding is a big heavy bag of
number crunching.

VideoEgg's original business model was to do this sort of transcoding,
but I believe they are out of that business.  I think Blip.tv will
help you, so long as your videos are appropriate to post on their
service.

Your other option is to set up a single-purpose server somewhere that
runs ffmpeg on each video.  You'd send it the raw files, and it would
send you and email or something when they were ready.

Since you're already learning AWS, you could do ffmpeg on EC2.  One of
the things I like about AppEngine is you don't have to be a systems
admin to get a good setup going.  Unfortunately, AWS is more system-
adminie.

Good luck!
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