YouTube is launching several new features for captioning. There are three captioning methods now. You can upload the caption file for the video. You can create a dialog file and YouTube will match the words with the text you provided. And YouTube will automatically add captions to the video. The first two are available to everyone now. The automatic is only for a select few, Google and Education, but over time will roll out to everyone. It uses the same technology that Google Voice does to transcribe your voice mail. It isn’t perfect but overtime the system will get better. This is really cool stuff on many levels. It’s law in many places for educational institutions to create captions, which is very time consuming now, especially if your not the content creator. Now YouTube could make it easier to accommodate. It will also allow for searches inside of videos. If Google has text of video dialog then they can point us to a certain point in a video to answer questions.
More at Google Blog