Yeah, I heard about this too, but I set up my account in the US, and I can still watch videos.... My profile still says United States, so if you guys change your settings or something to say that you are in the US, will that make a difference. What exactly happens when you try to watch a video, or do videos show up in your search results at all?
Edit: I just tried watching some other videos, and get a message saying "this video is not available in your country." WTF? But some videos I can still watch. It wouldn't let me watch the video for Suede's "Beautiful One's" for instance, but it lets me watch the video for "Common People?" Very weird.