I've only had a couple video's pop up the warning about the keyframe spacing. Literally, a couple, or two. I encode my scratch sample videos where each frame is a keyframe. I was about to post what spacing you guys recommended. Overall I'm pleased so far with the software, 3 hours tonight, one short usb audio dropout when I got the warning about the keyframe spacing, and one when I got a too little ram warning. All understandable and easily correctable. Let me say this, it seems to me ME just requires more processing power to work. I don't know why this is as it is performing very similar actions to VSL. I'm not a programmer. I know running VSL on my 2.5 MBP with 512Vram and 4gig ram I ALMOST never had any screen freezes from cpu maxing out. I seemed to have more headroom when running VSL. I believe it is the individual mp4's themselves that just use more CPU overheard. I was hovering near topping out about 67-70 percent of the time, my eyes are glued to it. Some video's by themselves with the other deck empty still had a higher than expected CPU load. ******Does ME just require more processing power?***** Seems to be from what I've read on other forums. Problem is if I have 2 videos playing where both videos use a higher than average cpu load, I run the risk of the video freezing output first, then the audio dropping out if it's REALLY bad(this hasn't happened yet, audio dropouts only occur on major problems like the ram warning). AGAIN it is safer and I have more HEADROOM on my CPU when running regular VSL. My laptop screen doesn't run super smooth always and I lowered the screen rate to 30, but thats not a huge deal as long as it's not locking up the waveform. Just the general slowdown. When I first load a track I have that initial CPU surge that can cause playback problems. This is more pronounced under ME. I like to change tracks a lot and quickly, this kinda slows me down a little bit. This is a problem. If I had the money I'd snap up a new 2.9 MBP, I bet it would have better CPU headroom and be WAY less likely to freeze video output. These are my observations from my first two nights out. I like the product and its features but the processing issue is a concern. I imagine this can improve in the future? How can I identify how much CPU overhead all my videos have so I can re-encode the offending ones....? THANKS ALOT, I know this is long. VJ BLAZE