The Panasonic HDC-SD5 ($999 MSRP) is the latest effort in the race to build the worlds smallest [something], in this case the smallest 3-chip, 1920 x 1080 HD camcorder. While the HDC-SD5 is less than thrilling, and only a minor upgrade to last years HDC-SD1, the world in which it lives has changed a great deal. Suddenly, AVCHD doesnt look so foreboding anymore. Support for viewing and editing is sprouting up on a monthly basis. The HDC-SD5 does offer an increased capture resolution over last year, which topped out at 1440 x 1080, and a smaller, lighter body. The starting price has also dropped considerably (down $500 from last year). All these facts combined make the HDC-SD5 far more enticing than its predecessor.