Most providers support FFMPEG but Red5 doesn't seem to be as common within shared hosting. How will you be using Red5 though? Your use of these applications may decide if you will actually need a dedicated server or not.
I suppose you need to refuse using the solution within shared web hosting offers. I suppose you need continue your search in the VPS at least, as what you are going to proceed is very heavy for the shared web hosting account
How many visitors of your website(s) will be using this feature? Red5 and FFMPEG can be quite resource intensive depending on how often it's being used which may result in having a dedicated server or VPS mandatory.
What is your budget for this type of hosting anyway?
If you have a 10,000.00 plus servers and your plans are under 20.00 and your giving away lets says 2000GB of bandwith and lets say 25 gigs of diskspace thats about 50 domains on 1TB drive. ok lets say you have 3TB drives on that one server and now you can have 300 users running videos and all that. So in maybe 3 years your paying for the server. But I am sure no one would put that many streaming users on one server. the most maybe 100 streamers or am I wrong here. I just don't see how you can have streaming video and even the programs can they handle so many users at one time or is it just well most won't be doing anything so you can put maybe 1000 steaming sites using the resources???? I still say a dedicated server is the way to go full resources and bandwidth all to yourself. and it doesn't have to be 200.00
I would have to recommend a VPS for you initially. It sounds like a VPS will suit most of your needs, and when you need more resources you can always expand to a fully dedicated server - with a minimal amount of effort if you plan things knowing you will be moving eventually. In general, though, a VPS will not have as much storage space as a dedicated server, so if you need a lot of space you may want to think about a dedicated server instead.
After almost 4 years on a dedicated server, I moved to a combination of VPS and AmazonS3 and haven't looked back since. I'm personally a big fan of slicehost - I find their support to be quite good, personally.
Hope that helps..
Scott Luther, Developer, WebGroup Media LLC. - http://twitter.com/neenach2002
Cerberus Helpdesk 4.2 is a CRM toolkit. Remember anything about anybody, swiftly reply to a flood of e-mail,
capture feedback organically, track time, flag opportunities, share tasks, and more. http://www.cerb4.com/