When I found out Expression Encoder could put captions on live broadcasts, I got excited. Unfortunately it is not what I thought. It does not overlay text onto the video, but instead sends the caption in a separate caption stream, and the viewer won't see it unless they have captioning turned on. And even then the display is not consistent across video players.
So I still have no solution for putting text or image overlays encoded in the video stream. That seems so simple in concept, and the LifeCam driver lets me use all sorts of silly video filters like putting hats on a person's head, sunglasses on their face or floating stars over their head. I don't see how they missed letting me put a static logo or some text in there instead.