Basically, this does not work. http://codex.wordpress.org/Embeds
When I add a link to media, I just get the url showing up in my post.
What doesn't work:
"All you need to do to embed something into a post or page is to post the URL to it into your content area. Make sure that the URL is on its own line and not hyperlinked (clickable when viewing the post).
Check out this cool video:
That was a cool video."