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You can do a lot more with videos shot on camcorders than simply play them back on your TV. You can edit and embellish them with music using your computer, then play your productions on your DVD player or PC. You can also e-mail recordings to friends or family.
Digital camcorders now dominate the market, accounting for the vast majority of new models and purchases. They generally offer fine picture quality and decent sound, and most are quite compact--many weigh about 1 pound, and the smallest are closer to half a pound. You can duplicate recordings without degrading picture or sound quality, and even take still photos with most new models. Digital camcorders capable of high-definition recording are the newest arrivals. If you'll be watching your video on an HDTV, it's worth considering an HD camcorder, but be prepared to pay hundreds more for one.
As prices on digital camcorders have dropped, analog camcorders have been relegated to a very small part of the market. While they are the lowest-priced option, picture and sound quality are a step below what you can get with digital models. Some analog units are as easy to handle as digital models but tend to be a bit bigger and bulkier.
New recording formats are also becoming more important. Most digital camcorders store your video on miniature tape cassettes or DVDs, but others record onto an internal hard drive or removable flash-memory cards similar to those you'd use in a digital camera. A few models combine two storage options, such as a hard drive and DVD or memory card, for added flexibility.
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