I'm upgrading from a SD camera to either a HDV or AVCHD. I currently have iLife 06 -- iMovieHD. With a AVCHD I'd have to upgrade to either iLife 08 or FCE. Which is a better program for AVCHD workflow?
....you could always do the translation in iMovie08, and then work with the AIC files in iMovieHD and take advantage of its greater functionality, saving yourself some hard-earned at the same time.
Then again, FCE looks cool. Just a bit of a learning curve moving there from iMovie, but no doubt worth it...