If you've logged into YouTube today, you may have noticed that the embedded video player looks wider. That's because it is. In a blog post, YouTube announced it has widened the width of the page to 960 pixels in response to customer feedback, but that might only be part of the story.

According to reports, YouTube is looking to offer feature films by as early as next month and has already convinced one major Hollywood movie studio to jump on board. By upgrading its video player to support widescreen content, YouTube puts itself in a better position to pitch its service to even more content producers and better compete with other video sites like Hulu. Hulu, despite trailing YouTube by a wide margin in the number of viewers, is on track to catch up to YouTube in advertising revenue next year.

In the meantime, for those that prefer to watch crappy amateur videos in the 4:3 aspect ratio, YouTube ensures they will play just fine in the new player.

Good move for YouTube? Hit the jump and post your thoughts.