It will cost you bandwidth every time someone views your video, so from that standpoint, it's not good for you. Hosting the videos on a content delivery network like Amazon will probably be cheaper for you, and the videos might load for the customer faster. But all the same, it will cost you either way (depending on your bandwidth limits and how much you pay for bandwidth). So I'd be going for the download option from that point of view as well. It's better for you and the customer, IMHO.
My question was if I do it on my server will it affect the bandwidth and such? I don't want to use Amazon or other paid hsting for 8-10 videos you know.