The Mozilla plugin

http://www.videolan.org/doc/vlc-user-guide/en/ch07.html

Install VLC and firefox plugin in ubuntu 12.10

Open the terminal and run the following commands

sudo apt-get install vlc browser-plugin-vlc mozilla-plugin-vlc

If you want latest version of vlc use the following PPA

sudo add-apt-repository ppa:videolan/stable-daily
sudo apt-get update
sudo apt-get install vlc