I know the nex-vg10 is not out yet, but do you think that video camera will do as good or better than the 700?
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Hard to say Foxwizgsk. Relative to the TMV700, the NEX-VG10 starts off with one disadvantage IMO and that's the lack of 1920X1080 60p full-HD recording. That's not to say it won't or can't produce a great picture, many HD cams that shoot at 1080i do and I've owned more of those than I'd care to mention. But Panasonic's execution of 1080p in the 700 produces a picture that I've never seen matched. It has the highest resolution (when vertical & horizontal resolution #s are combined) of any camcorder, under $5,000, on the market. In any kind of decent light it has extremely low noise that is essentially invisible. It also has one of the highest color accuracy scores ever recorded according to some reviews that measure that picture parameter. I myself have never seen more accurate color in any cam I've owned, whether from Canon, Sony or Panasonic.
So the Sony has some hurdles to climb in my book to match or beat the picture quality of the 700. Of course the Sony has interchangeable lenses if that's important to you when shooting video and that's something the 700 can never do. Additionally, the Sony has one large sensor as opposed to 3 smaller sensors like in the 700, so the impact of that remains to be seen. That might produce better performance in some areas and worse performance in others. We'll have to wait and see.
It should be interesting and I'm looking forward to seeing how it performs. I seem to go through these camcorders like water, always looking for the 'next big thing'. But the 700 is the first camcorder I've ever owned (and I've owned much larger, much more expensive prosumer HD camcorders like the Sony Z5 whose picture was great, but still not as good as the 700 IMO) that makes me think every time I see its picture "How are they going to top this without introducing a new format?"