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I'm on a 30 day trial of PowerDirector and I came here to ask the same question. The fact that it lets you specify which interlacing format (top field first, bottom field first, or progressive) a source video was recorded with implies that PowerDirector must have some kind of automatic de-interlacing. But is this true, and if so, then what kind of de-interlacing method does it use: i.e. single field, field blending, interpolated, or something more fancy like motion adaptive or motion compensated?
The quality (or lack thereof) of the rendered video I'm getting seems to suggest that it uses single field de-interlacing, which throws out half of the vertical resolution, resulting in jagged diagonal lines. I wish there was some way to tell it which de-interlacing method to use, as that will probably be my deciding factor on whether or not to purchase PowerDirector!
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