Slow motion video of anomaly event of SpaceX launch on 07/10/12 .
We should wait for an official assessment and avoid too many speculations.
Personally, I strongly discourage making conclusions from this video alone.
Update: Official SpaceX statement at http://www.spacex.com/press.php?page=20121008
"[…] Approximately one minute and 19 seconds into last night's launch, the Falcon 9 rocket detected an anomaly on one first stage engine. Initial data suggests that one of the rocket's nine Merlin engines, Engine 1, lost pressure suddenly and an engine shutdown command was issued. We know the engine did not explode, because we continued to receive data from it. Panels designed to relieve pressure within the engine bay were ejected to protect the stage and other engines. Our review of flight data indicates that neither the rocket stage nor any of the other eight engines were negatively affected by this event.[…]"