M.C.
I tried it with my now 3 year old. I quit because It was SOOO boring. (I felt like my brain was going to explode after about 10 minutes- boring) The only part she really liked was the singing.
Yes she learned a few words: Baby, clap, elephant... which she promptly forgot after we stopped watching YBCR/ She never could pick up a new book and start reading it.
Now she is 3 and is well on her way to reading FOR REAL! Yippee! She has learned all of her alphabet with simple flashcards, and a little help from the preschool prep series. She is starting to learn phonics (yay starfall), and is old enough to understand the letters have sounds and the sounds put together make words and that text has meaning. I think early reading is a valuable (and attainable) skill... but phonics is probably the way to go... with SOME sight words. you cant teach phonics until they are old enough to understand 3 things - 1. text has meaning... 2. letters make sounds... 3. letters together make words... I think you have to be at least a toddler to truly read.
Even so, I have got to say the videos of babies "reading" are incredible... I just think that if you stop using YCBR all that "reading" dissapears because it isn't meaningful/useful to them until they are older.
-M.