Before the introduction of the iPad, all of these blathering fanboys would have pointed to the Apple Macintosh as the obvious solution to THAT particular problem. Now that Big Brother Steve has declared a new direction, they have to abandon that idea and feel the need to attack it.
The iPad's inability to play the videos off of of grandma's camera doesn't make it any more secure (or easy).
Unfortunately, grandma might want to look at some website or file that isn't compatable with Apple's "walled garden" approach.
Something that doesn't force grandma to conform to Apple's in-house standards will ultimately be less trouble for grandma.
Grandma's device should "just play it".