adding video to header

I have a domain and i’m setting up my site based on wordpress. I have 2 questions, if somebody has the time:

1. I would like to use video instead of a picture in my header. Wich is the best way? Should I go with swf or use something else ?

2. I lke this theme: http://wordpress.org/extend/themes/black-urban but I would like to also have tabs in upper area (like home, about, parent page) – example http://wordpress.org/extend/themes/jq . Is it complicated to add them to black-urban ? Should I look for another aproach – modifying design to a theme that already has those tabs ?