What?

This really mystified me at first. After thinking about it I have decided that it must be a ploy. Make something so bad and embarrassing that people will forward it around the internet. As a result, David Hasselhoff gets A LOT of free publicity. And...as you have probably heard, there is no such thing as bad publicity.
Well, I'm doing my part. Enjoy!!!
UPDATE: Well placed sources tell me that this video actually dates from 2002.