I've been the challenge by my wife of doing something "useful" with all the gadgets I keep telling are essential! Specifically, getting 10 years of Hi8 and DVmini tapes on to DVDs and/or NAS. I've got a Pinnacle video capture device and software, plus a ReadyNAS Duo on my home network and HD DVD player. The aim is to store edited files on the NAS, accessed by a PS3, plus have the DVDs as a permanent backup. Three problems so far:
- file size. I nearly fell off my chair when 1.5 hours of imported Hi8 tape translated in to 21GB of avi file. Not an immediate problem as I have plenty of storage, althogh I'm not clear if I need avi
- file format. When I create a file after editing using avi, the PS3 doesn't read the file, but can cope with mpeg2
- function. The PS3 options are less than a standard DVD menu and so it's harder to navigate

I have three questions:
- Do I need to stick to avi in order to maintain picture quality (but is this really necessary with an analogue source like Hi8 tape?), or could I captutre files using mpeg2? This seems to dramatically reduce the file size, but I'm not sure if I'm sacrificing quality (whichi s an issue as I'm playing back the files from the NAS on a 60 inch plasma!)
- Same question as first, but linked to final authored file. I'm storing this on the NAS and burning to DVD. With a 21GB file, I need three DVDs unless I opt for Blu Ray. If I create the file in mpeg 2 format, it fits on DVD, but again is this at the expense of quality? I have no choice with the NAS as the PS3 can't cope with avi. So is mpeg2 the way forward?
- I haven't got to this stage yet (too busy trying to figure out the first!), but does a file with menus etc created in Pinnacle offer the same functionality when played back through a PC or other PnP devices on he network ie can I access scenes and chapters in the same way as on DVD, or is this only available when you actually burn a DVD?

Any help would be much appreciated and would be a potential marriage saver! Cheers.