I just put together my first Quicktime VR film and it's surprisingly easy with PhotoStitch. One problem, though, is the image quality drops substantially...to the point of posterization in some areas.

Any ideas on how to get a better quality image? I used the Sorenson 3 codec and chose "Best" quality.

I've found that the pano quality loss is more or less consistent across any of the common Quicktime codecs.

There are several PhotoStitch panos on my web site. Just do a search for "panorama." Usually I just make them quite large to preserve quality, so they often come out to over a megabyte.