I thought this was touching. I wonder if you could hack one of those picture 'frame' gizmos so that it just came up with a new picture of a puppy every hour. No browser, just a sort of 'happy fun time pictures' picture frame.
Came here to post this exact thing. I think the trick to viability is small doses at intervals. The Puppy Channel was all puppy all the time - puppy overdose. Hourly Puppy delivers a picture, not video, at one hour intervals so you can go "d'awwwwww" and go back to your day. Or I could be wrong, time will tell...
The fun with young animals for me is seeing how they move and play, the activity, the energy... A picture doesn't convey this as good as a video. Still, I love the idea of the OP's site.