MrMister111,
The story about intermediate codecs (like AIC) is not so complicated, only your HD camera supplier will probably not have told you about the disadvantages of the sophisticated AVCHD codec.
Let's go back a few years when SD camera's used the DV format.
In this format each frame is captured and stored indepently. Compression was applied to each individual frame.
Even today a SD camera produces 10Gb/hour of DV. This fits neatly on a single DV tape.
Now with HD the information per frame is about 4 times more. Would you use the same DV compression you would need 40Gb/hour. So the camera manufacturers needed to invent a more efficient compression in order to reuse the old DV tapes for HD material. The started compression Group Of Pictures (GOP).
In HDV you take a group of 12 frames. The first frame is stored completely. The other 11 are stored relative to the first one. So only the delta's need to be recorded.
Like this the cram on hour of HDV (1440x1080) with a GOP of 12 on a single 10Gb DV tape.
The reverse side of this efficient compression is that your playback and editing software needs to calculate each frame (except the first one in each GOP).
iMovie can NOT do this trick with HDV. iMovie requires reach frame to be complete, thus the need to use an intermediate codec. Expect HDV conversion into AIC will increase file size with a factor 4.
Note: your quality will NOT be less when using AIC. It simply is an INTERMEDIATE codec that eases the editing process.
Note: FCE and FCP can edit native HDV files. You will have smaller file sizes but require more CPU horsepower.
AVCHD is using even more compression than HDV (HDV is 18:1, AVCHD is 30:1 or 90:1). The GOP for AVCHD is 15 in stead of 12.
On

there is NO editing software that can edit native AVCHD. iMovie, FCE and FCP all require transcoding. iMovie uses AIC. FCE and FCP support both AIC and ProRes.
Note: transcoding to AIC and ProRes do not degrade quality. They will explode your file by factor 7.
More space to reduce CPU muscle.
iLife apps work great out of the box, but on the other hand, in case you want to use more features you will need to buy something.
Now suppose you use iMovie (AIC) or FCE/FCP (AIC or ProRes), your end result will be in this INTERMEDIATE CODEC. You can store it as an QuickTime (MOV) file. This is the best quality you can store.
But for distribution you will like to have something more convenient in size.
In case you want to make a DVD this intermediate file can be used in iDVD. iDVD will reduce its file size and convert to MPEG2 to fit within the DVD5 specification.
You can use the iLife Media Manager to bring the file to web. The frame size will be reduced and the result converted into flash and/or H.264.
Coen