My neighbor is in the market for a HD camcorder. I just picked up a Sony HDV and love the picture, but he really likes the concept of tape-less. He did bring up a good point that hard drive cameras like the SR12 may not have dropout concerns or moisture issues. He's also not worried about an instant archive, etc. So maybe hard drive is for him. HOWEVER, at the Apple Store of all places, they said a few things that seem like anti-AVCHD marketing but I can't answer for sure: 1) huge file sizes: I have another post on this and the answer is AVCHD files are the same size as HDV once loaded to iMovie (I guess I can answer that one) 2) digital dropouts and artifacts: I played with a Sony tape and hard drive and the hard drive never stuttered or showed digital artifacts. In fact the tape had dropouts, but I used a cheap tape (not so with a HDV tape) 3) HARD DRIVE FAILURE: this one is big and I can't say. The thought of banging your camera accidently and loosing your video is alarming, BUT does that really ever happen? My iPod gets banged around and never looses information. Even IF something happened and the drive was unable to be read, the data should be able to be recovered, right? (of course you'd lose the ability to shoot for a while) This isn't a AVCHD vs HDV thread, but rather what's your take on the 3 items mentioned? And 4) what about an extended warranty? I said get one, he's not so sure.