I've had no problems capturing an hour's video from my video camera. It was a little over 12Gb (conveniently a whole MiniDV tape eh?). I'm using 6.5 though and I don't imagine it's different.
Make sure of a couple of things though...
1) make sure your disk partition is not FAT32 or you WILL have a file size limitation at the OS level; and
2) Defrag the disk first.