So, do i get this right, this chip can encode video to avc/vc1 (and mpeg2) as well as transcode existing mpeg2/avc/vc1 encodes to other codecs? Nice!
So one could not only record with the new codecs (smaller filesizes with same quality compared to a mpeg2 recording = hdd can hold "more" video), but you could even transcode existing stuff to other codecs if the need should come up. Heck, maybe even a recordable HD DVD / Blu-ray could be authored, just as DVD-R standalone recoders do now for DVDs.