“Epic Fail” is a term which is being used more and more these days. It can mean a number of different things but they are all sort of the same. For instance, it can symbolize the highest form of fail known to man or it can be used when something can be seen to be a total failure, like this dance routine below:

The site Failblog charts all of the fails out there and some of them are truly epic in scale. If you have any sense of schadenfreude in you, you’ll get a kick out of more than a few posts on this site.
For instance, you might get a kick out of the guy below who thought it would be a good idea to climb inside a balloon. Nothing says “Epic Fail!” more than that!

Via Chris and others