HD video codecs will wipe the floor with an i7 chip :biggrin: It's pretty bad. Basically it boils down to this: each phase of the video process uses a different codec. So you have 3 codecs:
1. Recording
2. Editing
3. Playback
So your recording format might be AVCHD in an MTS container (typical of say a Canon HD camcorder). An i7 would really struggle to edit this. The reason it is so intensive is that the video is highly encoded to fit a lot of recording time on a small memory stick - so the tradeoff is more time on a cheaper, smaller flash chip vs. easier video editing. Newer video editing software will do basic edits natively on MTS files, but if you want to really get into things, you really need to transcode the Recording Codec into an Editing Codec (MOV, AVI, WMV, ProRes, whatever).
The Editing Codec makes the file size get larger, but now your CPU can handle editing it without choking. Once you are done editing, you export it to a Playback Codec like MP4 or something that will play nice in Quicktime or Windows Media Player or whatever. So there's typically a lot of transcoding involved when doing HD video editing. If you're only doing basic video editing and get the right package, you can skip pretty much everything except the export to the Playback Codec, which you need to play back on your computer, iPad, upload to Youtube, etc.
That's why I asked about the zoom...I am now recommending the new iPod Touch as a basic camcorder for most people (it has no zoom, however). It does 720p and you can edit directly on the device if you want to (the iMovie app is five bucks). It's not the world's best HD camcorder, but it's extremely convenient (super slim - fits in your pants pocket) and is "good enough" for a lot of stuff, and doesn't require an extension post-production workflow (transcoding, learning & purchasing video editing apps - although there are a lot of good free ones - and so on & so forth).