I'll defer to Mr. Bajaj who seems to agree with you:
As such, PowerPoint versions 97, 2000, 2002 and 2003 allow you to insert
QuickTime movies upto version 2.5 or any QuickTime movie that's rendered with
the QuickTime Cinepak codec - unfortunately, newer QuickTime formats are not
natively supported. In such a scenario, you can either link to a QuickTime movie
as an object or convert your QuickTime movie to the AVI format or an older
QuickTime format - we'll examine all these techniques on this page.
I tend to think in "distribution" mode (the caretaker in me), since I constantly
run into unhappy people who expect everything to work everywhere.