RMS would have nothing to do with this problem. Make sure your periodic/cron.php file is chmod 755 or 777 and your flash/modules/videos/files directory is either 755 or 777. Either have both files/folders mentioned at 755 or 777 since different servers are setup different ways. Try uploading and playing your video after doing this to see which setup works for you.
I am having the same problem, double checked everything on permissions and the cron job runs fine. Videos are showing uploaded, the thumbnails are being created, it just sits at 'loading' and the times show 00:00. Does anyone have any other ideas as to why this is broken? If everything else is working this should be too.