Is iMovie HD Compatible w/ Sony DVD camcorders?

Trying to find out how they will play together before I fork out the $$$.
The Sony DVD camcorders I am considering (DCRDVD405 or the 505 coming out in March) both record on a mini DVD. The cam manual says that "only photos can be downloaded to Mac." It only uses USB 2, no firewire.
But I read here in a thread that with a $20 Quicktime Playback component for Mpeg-2, I can copy the DVD to the desktop (?) and then import to iMovie.
1. Can the iMac read a mini-DVD?
2. Will I experience a loss in quality when I import from Mpeg 2?
Thanks for any advice...
iMac 20" Intel   Mac OS X (10.4.2)  

Hi Phyllis,
as Sue said:
1. Can the iMac read a mini-DVD?
NO! it has a slot-in drive, you can kill it by using non-standard size/shaped disks....
2. Will I experience a loss in quality when I import from Mpeg 2?
For sure! mpeg(2) is a playback format, tricking the eye... the basic principle, why 1h mpeg2 is just 2GB, but 1h miniDV is 13GB: it doesn't store every frame of video (1sec=30 frames), just "differences". If you want to edit such stuff with frame-precision, your Mac needs a lot of computation to "estimate" the content of each frame=VERY lossy process! (not, because a Mac cannot esitmate, but.......;-) )
3. iM sends some commands to cameras (play, ff, rew, rec)... these commands are not understood by a dvd-camcorder......
4. you get tapes even in Ivorycoast (we had that lately here....), but mini-dvd-r....?
5. you get miniDV cameras with a MUCH better pic quality then any miniDVD camera....
6. tape has a longer lifespan then dvd-r (Hi Lennart! <inside joke>)
7. some miniDV have analouge input - good for new life of old VHS/videodisks/recording your best PSP1 game....
8. ......... forget that miniDVD thing........... ;-))

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