No, it is pausing, but returning to it's insertion size is the default when
paused. In most cases, if you paused the video it is to make a point. By
resizing the video you can now use triggers to animate your objects, point
out text, etc..
You can of course get the effect you want by placing the video on a slide of
it's own, stretching it to fill the slide, and navigate to is as desired.
Austin Myers
MS PowerPoint MVP Team
Provider of PFCMedia, PFCPro, PFCExpress
http://www.pfcmedia.com