Why am I NOW having major issues watching YouTube videos using WiFi vs Ethernet?

Why am I having major issues watching YouTube videos when the cable modem is connected to Airport Extreme, but they work flawlessly if my computer is connected directly to the modem? Comcast is the internet provider. 2.16 GHz Intel Core 2 Duo is the iMac. Getting the dreaded "This video is currently unavailable" OR "An error occurred. Please try again later." I swap back and forth... it's unbelievable. Videos that give errors over WiFi play fine when hooked up via ethernet.

If your wireless connection is slow, video streaming will stutter or fail completely. The wireless connection can be slow if there are other wireless networks in your area, all competing for the same limited number of wireless channels.
If you have a fairly new Extreme, you can use 5 GHz. Your iMac is capable of using it, and this will mitigate the effects of wireless interference.
Keep one thing in mind - if in the course of troubleshooting you have been routinely disconnecting and reconnecting your Extreme and the iMac to your modem - "swapping back and forth" as you described - be sure to power down the modem first. Most cable modems will refuse to communicate with a different device, until after you reset it by powering it down. If you want to compare wired speeds to wireless, connect your iMac to one of the Extreme's LAN ports instead, and turn off the iMac's wireless in its WiFi menu. Its speed should be nearly identical to that you will have by connecting it directly to the modem. Swapping connections in this manner does not require a power down cycle.

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