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Hey remember that online video service done by those Skype guys? No, well neither did I until today. The previously uber hot and beta invite exclusive video service has decided to kill their desktop client in favor of a more friendly web client.

In what is likely to be a major shift in the company’s strategy, peer-to-peer startup Joost is going to stop making its desktop client. The decision to suspend the client is likely to be announced soon, I am told. The company is going to a browser-only strategy, in which much of its content is going to be available through a browser-based player.

Joost, I am told, will release a small plugin that would embed itself in the browser and allow you to grab files using the P2P technologies. The web client is likely to have better quality than average video sites.

Joost had launched its desktop client with much fanfare but for a panoply of reasons, such as bandwidth limitations, software issues and lack of content, the company lost traction and usage of its client dropped. Joost isn’t the only startup to give up backing solely the client. Veoh and Jaman adopted a browser-and-client strategy, which has helped boost their audience. [via]

The question is is Joost a has been or will the rebirth of the service as a web app spur interest again?