Index: wp-includes/default-filters.php
===================================================================
--- wp-includes/default-filters.php	(revision 21827)
+++ wp-includes/default-filters.php	(working copy)
@@ -285,4 +285,9 @@
 // If the upgrade hasn't run yet, assume link manager is used.
 add_filter( 'default_option_link_manager_enabled', '__return_true' );
 
+// Automatically embed URLs
+add_filter( 'default_option_autoembed_urls', '__return_true' );
+add_filter( 'default_option_embed_size_w', 500 );
+add_filter( 'default_option_embed_size_h', 700 );
+
 unset($filter, $action);
Index: wp-includes/media.php
===================================================================
--- wp-includes/media.php	(revision 21827)
+++ wp-includes/media.php	(working copy)
@@ -1054,20 +1054,19 @@
 	 */
 	function __construct() {
 		// Hack to get the [embed] shortcode to run before wpautop()
-		add_filter( 'the_content', array(&$this, 'run_shortcode'), 8 );
+		add_filter( 'the_content', array( $this, 'run_shortcode'), 8 );
 
 		// Shortcode placeholder for strip_shortcodes()
 		add_shortcode( 'embed', '__return_false' );
 
 		// Attempts to embed all URLs in a post
-		if ( get_option('embed_autourls') )
-			add_filter( 'the_content', array(&$this, 'autoembed'), 8 );
+		add_filter( 'the_content', array( $this, 'autoembed'), 8 );
 
 		// After a post is saved, invalidate the oEmbed cache
-		add_action( 'save_post', array(&$this, 'delete_oembed_caches') );
+		add_action( 'save_post', array( $this, 'delete_oembed_caches') );
 
 		// After a post is saved, cache oEmbed items via AJAX
-		add_action( 'edit_form_advanced', array(&$this, 'maybe_run_ajax_cache') );
+		add_action( 'edit_form_advanced', array( $this, 'maybe_run_ajax_cache') );
 	}
 
 	/**
@@ -1092,7 +1091,7 @@
 		$orig_shortcode_tags = $shortcode_tags;
 		remove_all_shortcodes();
 
-		add_shortcode( 'embed', array(&$this, 'shortcode') );
+		add_shortcode( 'embed', array( $this, 'shortcode') );
 
 		// Do the shortcode (only the [embed] one is registered)
 		$content = do_shortcode( $content );
@@ -1266,8 +1265,7 @@
 			$this->usecache = false;
 
 			$content = $this->run_shortcode( $post->post_content );
-			if ( get_option('embed_autourls') )
-				$this->autoembed( $content );
+			$this->autoembed( $content );
 
 			$this->usecache = true;
 		}
@@ -1282,7 +1280,7 @@
 	 * @return string Potentially modified $content.
 	 */
 	function autoembed( $content ) {
-		return preg_replace_callback( '|^\s*(https?://[^\s"]+)\s*$|im', array(&$this, 'autoembed_callback'), $content );
+		return preg_replace_callback( '|^\s*(https?://[^\s"]+)\s*$|im', array( $this, 'autoembed_callback'), $content );
 	}
 
 	/**
@@ -1345,22 +1343,17 @@
  * @return array Default embed parameters.
  */
 function wp_embed_defaults() {
-	if ( !empty($GLOBALS['content_width']) )
+	if ( ! empty( $GLOBALS['content_width'] ) )
 		$theme_width = (int) $GLOBALS['content_width'];
 
-	$width = get_option('embed_size_w');
-
-	if ( empty($width) && !empty($theme_width) )
+	if ( ! empty( $theme_width ) )
 		$width = $theme_width;
 
-	if ( empty($width) )
+	if ( empty( $width ) )
 		$width = 500;
 
-	$height = get_option('embed_size_h');
+	$height = min( ceil( $width * 2.5 ), 1000 );
 
-	if ( empty($height) )
-		$height = 700;
-
 	return apply_filters( 'embed_defaults', array(
 		'width'  => $width,
 		'height' => $height,
Index: wp-includes/formatting.php
===================================================================
--- wp-includes/formatting.php	(revision 21827)
+++ wp-includes/formatting.php	(working copy)
@@ -2737,7 +2737,6 @@
 		case 'medium_size_h':
 		case 'large_size_w':
 		case 'large_size_h':
-		case 'embed_size_h':
 		case 'default_post_edit_rows':
 		case 'mailserver_port':
 		case 'comment_max_links':
@@ -2755,11 +2754,6 @@
 			$value = absint( $value );
 			break;
 
-		case 'embed_size_w':
-			if ( '' !== $value )
-				$value = absint( $value );
-			break;
-
 		case 'posts_per_page':
 		case 'posts_per_rss':
 			$value = (int) $value;
Index: wp-admin/includes/schema.php
===================================================================
--- wp-admin/includes/schema.php	(revision 21827)
+++ wp-admin/includes/schema.php	(working copy)
@@ -468,11 +468,6 @@
 	// 2.8
 	'timezone_string' => $timezone_string,
 
-	// 2.9
-	'embed_autourls' => 1,
-	'embed_size_w' => '',
-	'embed_size_h' => 600,
-
 	// 3.0
 	'page_for_posts' => 0,
 	'page_on_front' => 0,
Index: wp-admin/options-media.php
===================================================================
--- wp-admin/options-media.php	(revision 21827)
+++ wp-admin/options-media.php	(working copy)
@@ -15,14 +15,8 @@
 $title = __('Media Settings');
 $parent_file = 'options-general.php';
 
-$media_options_help = '<p>' . __('You can set maximum sizes for images inserted into your written content; you can also insert an image as Full Size.') . '</p>' .
-	'<p>' . __('The Embed option allows you embed a video, image, or other media content into your content automatically by typing the URL (of the web page where the file lives) on its own line when you create your content.');
+$media_options_help = '<p>' . __('You can set maximum sizes for images inserted into your written content; you can also insert an image as Full Size.') . '</p>';
 
-if ( ! empty( $content_width ) )
-	$media_options_help .= ' ' . __( 'If you do not set the maximum embed size, it will be automatically sized to fit into your content area.' );
-
-$media_options_help .= '</p>';
-
 if ( ! is_multisite() ) {
 	$media_options_help .= '<p>' . __('Uploading Files allows you to choose the folder and path for storing your uploaded files.') . '</p>';
 }
@@ -91,32 +85,12 @@
 <?php do_settings_fields('media', 'default'); ?>
 </table>
 
+<?php if ( isset( $GLOBALS['wp_settings']['media']['embeds'] ) ): ?>
 <h3><?php _e('Embeds') ?></h3>
-
 <table class="form-table">
-
-<tr valign="top">
-<th scope="row"><?php _e('Auto-embeds'); ?></th>
-<td><fieldset><legend class="screen-reader-text"><span><?php _e('When possible, embed the media content from a URL directly onto the page. For example: links to Flickr and YouTube.'); ?></span></legend>
-<label for="embed_autourls"><input name="embed_autourls" type="checkbox" id="embed_autourls" value="1" <?php checked( '1', get_option('embed_autourls') ); ?>/> <?php _e('When possible, embed the media content from a URL directly onto the page. For example: links to Flickr and YouTube.'); ?></label>
-</fieldset></td>
-</tr>
-
-<tr valign="top">
-<th scope="row"><?php _e('Maximum embed size') ?></th>
-<td>
-<label for="embed_size_w"><?php _e('Width'); ?></label>
-<input name="embed_size_w" type="number" step="1" min="0" id="embed_size_w" value="<?php form_option('embed_size_w'); ?>" class="small-text" />
-<label for="embed_size_h"><?php _e('Height'); ?></label>
-<input name="embed_size_h" type="number" step="1" min="0" id="embed_size_h" value="<?php form_option('embed_size_h'); ?>" class="small-text" />
-<?php if ( ! empty( $content_width ) )
-	echo '<p class="description">' . __( 'If the width value is left blank, embeds will default to the max width of your theme.' ) . '</p>';
-?>
-</td>
-</tr>
-
-<?php do_settings_fields('media', 'embeds'); ?>
+<?php do_settings_fields( 'media', 'embeds' ); ?>
 </table>
+<?php endif ?>
 
 <?php if ( !is_multisite() ) : ?>
 <h3><?php _e('Uploading Files'); ?></h3>
Index: wp-admin/options.php
===================================================================
--- wp-admin/options.php	(revision 21827)
+++ wp-admin/options.php	(working copy)
@@ -61,7 +61,7 @@
 $whitelist_options = array(
 	'general' => array( 'blogname', 'blogdescription', 'gmt_offset', 'date_format', 'time_format', 'start_of_week', 'timezone_string' ),
 	'discussion' => array( 'default_pingback_flag', 'default_ping_status', 'default_comment_status', 'comments_notify', 'moderation_notify', 'comment_moderation', 'require_name_email', 'comment_whitelist', 'comment_max_links', 'moderation_keys', 'blacklist_keys', 'show_avatars', 'avatar_rating', 'avatar_default', 'close_comments_for_old_posts', 'close_comments_days_old', 'thread_comments', 'thread_comments_depth', 'page_comments', 'comments_per_page', 'default_comments_page', 'comment_order', 'comment_registration' ),
-	'media' => array( 'thumbnail_size_w', 'thumbnail_size_h', 'thumbnail_crop', 'medium_size_w', 'medium_size_h', 'large_size_w', 'large_size_h', 'image_default_size', 'image_default_align', 'image_default_link_type', 'embed_autourls', 'embed_size_w', 'embed_size_h' ),
+	'media' => array( 'thumbnail_size_w', 'thumbnail_size_h', 'thumbnail_crop', 'medium_size_w', 'medium_size_h', 'large_size_w', 'large_size_h', 'image_default_size', 'image_default_align', 'image_default_link_type' ),
 	'privacy' => array( 'blog_public' ),
 	'reading' => array( 'posts_per_page', 'posts_per_rss', 'rss_use_excerpt', 'blog_charset', 'show_on_front', 'page_on_front', 'page_for_posts' ),
 	'writing' => array( 'default_post_edit_rows', 'use_smilies', 'default_category', 'default_email_category', 'use_balanceTags', 'default_link_category', 'default_post_format' ),