Mits is in for a world of hurt with their 1394 input. Unless they add support for MPEG4, their customers are going to be SOL.

MPEG4 is superior to MPEG2 in every way and lets hope it becomes the standard for HD-DVD. We have done tests at work with MPEG4 vs. MPEG2. We can enocde MPEG4 at 2-3 Mb that are equal to or better than MPEG2 at 7-8 Mb.