Gregintosh
macrumors 68000
If only there was an iphone that could run full OS so we could use pro apps.
Are you kidding??? (I hope you are) You'd wanna run Final Cut Pro or something on a 3.5" inch screen? Gimme a break. That's like having a web designer create a website on his PDA or a writer create a whole book on a blackberry. Ridiculous.
This thing will be fine for putting together little YouTube quality videos on the fly, if even that. iMovie portable, or whatever they make for video editing, will have a few basic functions, no doubt some neat stuff, and a few predefined templates. It's going to be designed for easy and quick use on the Fly.
No one is going to spend 2 hours (or for that matter, any amount of time above 5 minutes) editing a video on a 3.5" screen. For that, you'll have to transfer it to your computer and edit it on your mac with the full desktop iMovie, or if you wish Final Cut or something (though I doubt the quality from an itty bitty camera is going to be worthy of a pro project).