The vid above is about 20 yrs old. Osawa Sensei does not move like that anymore.
I actually prefer that older movement than what he is currently pursuing. I like the older minimalist/direct approach than the newer kabuki style (from what I've been told) movement.
http://www.youtube.com/watch?v=SKPX_...eature=related
Of course to each his own and I applaud Osawa Sensei for pursuing/challenging his own aikido. In my opinion he is one of the most gifted instructors around.