Very cute.
In the authors own words:
"I shot the background video on a 1/3-chip DV camera (TRV25). The Star Wars vehicles are either 2D stills found on the internet, or video I roto-scoped out of the movies, which I then motion-tracked and composited in After FX. I used the trapcode particular plug-in for some steam and smoke effects, and did basic sound design and assembly in Final Cut."
More information here.
