I knowa lot of people who make vids, have been trying to keep quality and try to also keep the file size down.
A lot of cappers are now using XVID codec. The codec seems to keep good quality and it compress's better than divx. If anyone who makes vids want to try it, you can get it free from here
http://www.xvidmovies.com/codec/
when you choose the codec, it is listed as mpeg in the video editing software, but it is infact avi, so make sure you use the avi file name once you make a clip.
regards
peeper.