Camcorders have never been more affordable nor offered better quality, but even Steven Spielberg needs to edit recordings to get the best results.

Whether you're making a holiday, wedding or corporate training video, all footage benefits from a few nips and tucks and smart people use their computers.

Using today's software and hardware you can quickly and easily rearrange clips by simply dragging them around your screen with a mouse. Discreet or spectacular effects can be added in a blink of an eye, as can soundtracks or running commentary.

Best of all, once you're finished, you can shrink videos for emailing, stream them directly from a website or even turn them into high-quality DVDs complete with interactive menus.

There has never been a more exciting time for editing your home movies and professional results are cheaper and easier than you may think. There's no need to buy a supercomputer or take a degree in film making either, as most of today's computers already have all or most of what you need.

In this feature we'll help you select the right equipment, discover which camcorder format is best for you, and find out which features are essential or nothing more than gimmicks.

Whether you're filming a family celebration, an important company meeting, or have Hollywood-style aspirations, we'll tell you everything you need to know.

What computer do you need?
Almost any modern computer can be used for video editing, but there are various aspects you can upgrade on an existing machine, or select on a new one, to make your life easier.

You don't need the fastest processor in the world. Faster chips will generate special effects and fades more quickly but, if you don't mind waiting, you can successfully use a 500MHz model. Installing lots of memory can also accelerate the overall editing experience, but most packages will happily work with 128Mb of Ram. If you're buying a new computer, though, go for at least 256Mb.

The one specification where you can't skimp is the hard disk, as this is where you store your video while editing. The bottom line is that video files can be huge. If you're using a MiniDV or Digital-8 camcorder, you're looking at around 11Gb of hard disk space to store just one hour of footage.

Most editing software also needs spare hard disk space in order to manipulate such huge files, so we recommend at least a 20Gb disk and preferably much more.

Getting the video into your computer
Most importantly of all, you'll need some means by which to get the video into your computer and onto the hard disk. If you're using an analogue camcorder, your footage must be converted into a digital format for editing, then converted back into analogue for recording onto tape.

Most computers require special video capture cards to do this, which can cost over £100, but some high-end graphics cards, such as the ATI All-in-Wonders, have analogue capture facilities built in. Sadly, there is an inevitable loss of quality during the conversion from analogue to digital and back again.

Digital camcorders make the capture process much simpler by already having their video in a digital format. So long as the computer can understand the format, footage can simply be copied directly from the camcorder onto the hard disk for editing, then copied straight back again afterwards. Since no conversion takes place, there's no loss of quality.

Thankfully one format and connector dominate the consumer digital video market. The leading system is called DV and is used by both MiniDV and Digital-8 camcorders. Meanwhile, the standard connector is a single plug that's called different things by different companies. Apple calls it FireWire, Sony calls it iLink, while the techies prefer IEEE-1394. Either way, these are all the same thing.

To avoid confusion, we'll refer to it from now on as FireWire. FireWire has long been a standard fitting on all but the cheapest Apple Macs and is now becoming increasingly common on new PCs. If your PC doesn't have a FireWire port, it can be added using a card costing as little as £30.

Before you get too carried away, though, here's a word of warning: while virtually every digital camcorder has a FireWire connector, some cheaper models can only use it for playing. They cannot use it for recording.

While this doesn't matter if you only intend to email your videos or burn them onto DVDs, most people will want the option of digitally outputting edited footage back onto tape, if only to save space on their computers or have a high-quality archive.

Camcorders with FireWire plugs that can both play and record are described as having 'DV-in and out', and normally cost about £50 more than models which are DV-out only. We can't recommend highly enough that you go for a camcorder with both DV-in and out facilities if you intend to edit with your computer.

Editing software
Once you've got your video on the hard disk you'll need software to edit it. The good news is that basic editing software is available free of charge. Windows Movie Maker is a free download for Windows XP users (from www.microsoft.com/windowsxp/moviemaker), while iMovie comes as standard on modern Macs.

Both of these packages allow you to arrange scenes in any order, shorten them and add titles or various special effects. If you're after something different or more sophisticated there are plenty of other options available, including tools which can produce truly professional results. See our editing feature here for more information.

Since DV is the most widespread digital format, it is supported by all editing packages. The MPEG-2 format, which is used by MicroMV and DVD camcorders (see later), is supported by fewer editors, so check the software's capabilities if you have one of these models.

Finally, if you're using an analogue video capture card, it will automatically convert your footage into a format that can be understood by most editors.

After editing
Once your video has been edited, there is a variety of options open to you. The simplest is to output the final project onto tape, which will preserve it with the best quality.

Alternatively, most editing packages allow you to compress video into something small enough to email to a friend or even stream from a website.

For the ultimate in sharing, how about turning your masterpiece into a Video CD or even a DVD? DVD recorders cost from £200 and normally come with software for making DVD videos, although alternative software costs as little as £25. If you buy a Mac with a built-in DVD recorder, it will come with software to get you started.

One other thing to note is that there are currently five different types of blank DVD discs available and no recorder can use them all, so it's essential to buy the right ones for your model. Alternatively, if you're in the market for a new recorder, it makes sense to buy a model that can use the most compatible blank format.

In our tests, the two most compatible blank discs are the write-once DVD-R and DVD+R formats. Since DVD-R is more established and currently the cheapest too, we'd recommend buying a recorder which can use these discs.

Choosing a camcorder
Choosing a camcorder can seem a daunting task due to the bewildering array of formats and options available, but at what point are you paying for unnecessary gadgetry? To separate the wheat from the chaff we'll now explain the pertinent features on today's models, and which ones are particularly important for someone who's into video editing with their computer. If you can't wait any longer before handing over your cash, check out 'If you only remember three things' (below) for some advice.

Camcorder formats
The camcorder market is very roughly divided into digital and analogue models. Digital camcorders ultimately deliver better quality but, just as crucially, allow cheaper and better quality editing with your computer.

If the video is recorded digitally, it's relatively easy to transfer onto a computer for editing and back again without any loss of quality. This alone makes digital camcorders the most sensible choice for anyone who wants to edit using their computer.

Digital camcorders are, however, more expensive than their analogue counterparts, so if your budget can't stretch, you'll need to choose between one of the four analogue formats currently available. Remember, though, that computer equipment for capturing analogue video is more expensive than for digital.

Analogue camcorders
The cheapest analogue camcorders use either the 8mm or VHSC (compact) formats. They're both roughly equivalent in quality to normal VHS, and indeed the VHSC tapes can be inserted into existing VHS machines using a special adapter. Prices for 8mm and VHSC camcorders start at around £199, for models such as Samsung's VPW70.

For almost double the quality, go for a Hi8 or S-VHSC camcorder, which are both equivalent to the superior S-VHS format. Since these models offer much better quality, yet start at under £299, we recommend them over plain 8mm or VHSC.

Digital camcorders
The digital camcorder market is dominated by the MiniDV format, which can deliver quality comparable to DVD; the tapes are also smaller than the analogue formats, in turn allowing more compact models to be produced.

The cheapest MiniDV camcorders start at under £350, but these have DV-out facilities only. As explained earlier, you'll need DV-in and out facilities to make the most of editing with your computer, and these models start at around £399. One of the cheapest models with DV-in and out is Panasonic's NV-DS30.

While MiniDV is the dominant digital format, there are alternatives. Digital-8 is, as it sounds, a digital version of 8mm. Invented (and offered almost exclusively) by Sony, it uses precisely the same recording system as MiniDV, resulting in identical quality; some models can even play old 8mm and Hi8 tapes, which is great for the upgrader. Digital-8 camcorders with DV-in and out are available from £349.

It's often difficult to differentiate between MiniDV and Digital-8 models, but the best features, lenses and smallest designs are traditionally reserved for the former.

Consequently Digital-8 is targeted as an affordable entry to digital recording and editing, while MiniDV models are aimed at the mid-range and upwards.

Either is suitable for digital editing on your computer (so long as you go for a model with DV-in and out) but, given the choice, we'd recommend MiniDV for the sheer variety of models, not to mention access to better features and designs.

As MiniDV camcorders have matured, the limiting factor to their size is the cassette itself. With this in mind, Sony developed its new MicroMV format in late 2001, with tapes that are 70 per cent smaller than MiniDV, yet still record up to 60 minutes of footage. MicroMV manages this by using the more efficient MPEG-2 compression system, which is also used by DVD and digital television broadcasts.

More efficient compression also means you need about half as much space on your hard disk to edit MicroMV projects. The bad news, though, is that most editing software is designed for the DV format only and won't work with MicroMV's native MPEG-2 video. Sony's supplied software is also for Windows only, which rules out editing on a Mac. Pinnacle's Studio 8 editing software now supports MicroMV files, however, and costs around £55.

MicroMV is a remarkable technology, but should only be chosen by people who demand the smallest camcorders on the market. MiniDV still offers greater flexibility, not to mention cheaper tapes and cameras.

Tapeless formats
All the formats mentioned so far use tapes, but there are further alternatives. Recording directly onto DVDs has the benefit of fast access and a disc which, in theory, can simply be inserted straight into existing DVD players.

Last year Hitachi launched the first DVD camcorder. It used 8cm DVD-RAM discs which certainly boasted fast access and even on-disc editing, but the DVD-RAM format remains unreadable by most existing DVD players. During summer 2003, Sony will release its first two DVD camcorders, using 8cm DVD-RW and DVD-R formats which are more compatible with existing players and don't require DVD-RAM's caddies.

Like the MicroMV format, DVD camcorders use the MPEG-2 system, which is not supported by all editing packages. Consequently we recommend sticking with MiniDV or Digital-8 if you want the widest range of editing solutions on your computer, or carefully checking an editor's specifications for compatibility.

It is also possible to record video onto solid-state memory cards, a facility offered by most still digital cameras, albeit at a quality much lower than even a cheap analogue camcorder. However, the high price of memory cards and vast amount of data required for good-quality video makes solid-state camcorders impractical. But prices always fall and compression systems are getting better all the time.

Besides, the temptation to use solid-state technology sooner rather than later in order to produce the world's smallest camcorder (regardless of price) is bound to prove irresistible to certain manufacturers.

Features to look out for
The lens is, of course, one of the most important parts of any camera, but camcorders often have a strange way of describing them. The important figure is the optical zoom, which normally operates in a 10x range, roughly equivalent in coverage to a 50-500mm lens on a 35mm camera. Some camcorders offer longer 12x or even 20x optical zooms, which are great if your subject is small or distant.

Most camcorders also offer digital zoom facilities, but these just electronically crop the centre of the image and enlarge it. With fewer pixels in the image, the result is fuzzy and if you are holding the camera images will suffer badly from even the slightest shake above 50x.

Certainly the claims up to 1,000x are nothing more than gimmicks. Perhaps acknowledging this, many camcorders now offer a setting that limits the digital zoom to more practical magnifications.

LCD screens
All but the cheapest (or unconventionally styled) camcorders feature two means of composition: an electronic viewfinder and a flip-out LCD screen. The screens are great for shooting at unusual angles, while the viewfinders are handy backups when the sunlight's bright.

Generally speaking, the more you pay the larger and better quality the screen. Bigger screens don't offer any particular advantages, but they're undeniably nice to have. Some screens are now also touch-sensitive, but this is just a novelty. Budget camcorders may only have a black and white viewfinder.

Image stabilisers
Image stabilisers help eliminate handheld wobbles, but vary in their effectiveness. The best are optical ones, where moving lenses ensure that the image is kept steady. These are expensive, though, and generally only used on models costing in excess of £1,500.

Digital stabilisation is much more common, and uses spare pixels around the outer edge of the imaging sensor as a buffer. Stabilisers can be surprisingly effective, although they may over-compensate for intended motion. If you're using a tripod for proper stability, it's best to switch them off.

Microphone connectors
The built-in microphones of all camcorders are highly susceptible to ambient noise. The answer is to use a separate microphone, and some models offer dedicated 3.5mm inputs, while others accommodate models mounted on an accessory shoe at the top.

If good quality audio is important to you, look for a camcorder with the right connectivity, although do bear in mind that you can always add audio later during editing.

AV connectors
All camcorders feature some kind of video and audio outputs for connection to a VCR, TV or other analogue display. More expensive camcorders can also record from these connectors, which is handy if you want to use your camcorder as a high-quality digital VCR, for making MiniDV copies of old analogue tapes, for instance. Once recorded onto MiniDV, you could also then edit these old tapes on your computer across FireWire.

Night modes
Night modes are common on today's camcorders, but again vary in capabilities. Cheaper models simply increase the exposure and sensor amplification, resulting in a blurry and noisy result. Models with infrared lamps can genuinely see in the dark, but have a short range and produce an eerie green tint resembling military footage.

USB ports
Many digital camcorders now feature USB ports. These are meant for copying still images from the camcorder, and in some cases stream video for use as a webcam. Generally this is only supported in Windows.

Progressive scan
Conventional camcorders record interlaced video, which builds each frame from two separate fields: one has the odd lines, the other has the even lines.

Progressive Scan modes record the entire frame in one go, resulting in considerably less blur when pausing or grabbing still images from video.

So, now you know what features and equipment you need, read on to discover how to create great digital video. You will find it's much easier than you think and tremendous fun. Happy video editing!

PCs VERSUS MACs

Both PCs and Apple Macs can be used for video editing, but which is best? Until recently Macs definitely had the advantage, as all but the cheapest came complete with FireWire and free movie-editing software as standard.

FireWire was an optional extra on PCs, which meant having to fit your own card. You also normally needed to buy your own editing software. As time has moved on, FireWire has become more standard on PCs and Microsoft now offers a free video-editing package for Windows XP users which greatly resembles Apple's iMovie.

Today Macs and PCs are both excellent choices for video editing. Macs tend to have everything ready-to-go as standard, while PCs often work out slightly cheaper but may require a little setting up.

IF YOU ONLY REMEMBER THREE THINGS

If you're shopping for a new camcorder and want to edit video with your computer, you should remember the following three things:

1: Buy a digital model
Digital camcorders offer better quality than analogue models, but crucially allow their video to be cheaply and easily copied from camera to computer and back again, with no loss in quality. Of all the digital camcorder formats, MiniDV is the most popular and flexible, delivering excellent quality and value.

2: Make sure it has DV-in and out facilities
Digital camcorders talk to computers using a single cable, and the important thing is to ensure that the connector is labelled In and Out. Cheaper camcorders have only DV-out, which means they can get video into your computer but not record the edited footage back into the camcorder. In order to transfer your masterpiece back to tape, you'll need a model with DV-in as well. They're a little more expensive, but essential for anyone wanting to edit with their computer.

3: Ignore digital zooms
Camcorders make ludicrous claims with their zoom lenses, often boasting magnifications up to 1,000x. In reality, most camcorders can only optically zoom between 10 and 20 times but, by digitally enlarging the middle, deliver these huge magnifications. The quality of 'digital zooms' beyond 30 or 40 times is awful though and impractical to handhold. It's therefore best to ignore digital zooms and only compare genuine optical ranges instead.

SEMI-PROFESSIONAL CAMERAS

Camcorders costing less than £1,500 normally use a single sensor for capturing video. These sensors are colour-blind and require a mosaic of red, green and blue filters across their surface, along with clever processing to generate a full-colour image.

Far better quality can be achieved by using three separate sensors and devoting each either to red, green or blue light. This is precisely what three-chip cameras do, although such models are understandably larger and more expensive than single-chip cameras. They are great for enthusiasts and essential for professionals.

Three-chip camcorders start at £1,499 for models such as Panasonic's NV-MX500, while spending £1,800 gets you Canon's versatile XM2. The next step starts at £2,500 to £3,000 for a three-chip camera with excellent optics and options to connect professional quality microphones, such as Canon's XL1S.

If you only need professional quality for a day or two to shoot a wedding, conference or training video, consider hiring instead of buying - £3,000 camcorders can be hired for less than £100 per day.

WIDESCREEN CAMCORDERS

Judging by the number of TVs, programmes and DVDs that use widescreen 16:9 pictures, it might surprise you to learn that all but a handful of (usually professional) cameras still use the squarish 4:3 picture shape.

So what's a widescreen fanatic to do? Most camcorders do offer widescreen 16:9 aspect ratio modes, but simply crop the top and bottom of the normal 4:3 frame and put black bars in the space created. Since the crop reduces the vertical resolution of the picture, the only benefit is being able to frame a shot correctly for displaying on a widescreen TV without accidentally chopping heads off.

An increasing number of camcorders are being fitted with higher-resolution sensors for image stabilisation or still photos, and there's no reason why their full width couldn't be used to record a widescreen picture.

Sony is the first to offer this true 16:9 option on all its 1megapixel camcorders launched in 2003. The widescreen picture is then squeezed into a 4:3 shape for recording, and unsqueezed to its full width by widescreen TVs in the same way as DVDs and digital TV; this technique is known as anamorphic.

USING CAMCORDERS FOR PHOTOS

The vast majority of modern camcorders offer the facility to capture still photos, but don't sell your digital camera yet. The most basic models capture stills directly onto the tape by simply recording the scene for a few seconds. This captures photos at the video resolution of only 640 x 480 pixels, which works out at just one third of a megapixel - next to useless for printing.

Fortunately most MiniDV camcorders these days feature higher-resolution CCDs (charge coupled devices) than are strictly required for just recording video. Since these stills can't be stored on tape, the camcorder must be fitted with alternative storage, such as a removable memory card; most models use the small SD (Secure Digital)/MMC (Multimedia Card) format, while Sony camcorders use the company's own Memory Sticks.

The presence of a memory card in a camcorder does not automatically translate into high-resolution stills, though. Many cheaper models are still limited to modest (and essentially useless) resolutions of either 640 x 480 or 768 x 576 pixels. Spending a little more gets you 1,024 x 768 resolution or, if you're lucky, 1,280 x 960 pixels. While the latter now equals 1-megapixel, it's still far from useful in quality terms.

During 2002, the first camcorders with 2-megapixel still capabilities were launched, and now in 2003, at least one model with 4-megapixel stills has been announced. At last these resolutions are beginning to be useful, but they're currently the exception rather than the rule.

While camcorders and digital cameras are likely to converge into single products in the future, that remains some way off. The photo capabilities of camcorders may be getting better with every generation, but the majority remain little more than a novelty. So if you want decent stills, buy a still camera.