not sure if this is in the correct section. anyway i would like to buy a camcorder with the following strenghts:

1) best picture quality in its class
2) best still picture quality in its class
3) and if possible progressive mode and true wide screen

ive been looking at the pany mx500 but have been slighty confused by the recent release of the sony pc330. any ideas.

Look at the Canon Optura Xi for the best bang for the consumer buck, but no pro-scan. The GS100 is also a great consumer cam, with frame mode, but it is only sold as a Japanese Domestic (NTSC). Both these cams have good 16:9. The next best thing would be a MX500. Of course if you want to spend more, you'll get a better cam. However, you'll have to spend a lot more for both progressive and 16:9, and it won't be miniDV. One option is the DVX100 with a 16:9 adaptor.

If you're serious about video, cross #2 off the list. They make good video cams and they make good still cams, not both.

Bryan is dead on, in fact you will not find any camera with everything you want. True 16:9 doesn't exist in anything less than a Sony DSR500W, and you won't find one of those for pro-sumer prices. If you want progressive and great image quality take a look at the Panasonic AG-DVX100. The NV-MX500 is a great cam but it's certainly not the best in it's class. It's a good compromise of both good image quality: for a video camera and still quality, but you don't get true progressive or true widescreen. If it suits your budget, then it's a good choice based on what your requirements are.

based on a budget of about £800, which is what i can get the mx500 for in Hong Kong, what should i buy instead of this (canon mvx3i?) or is this "the one"? i can go a little higher if needed.

If that's your budget and you can get an NV-MX500 for that then I'd go with the MX500. It's a very capable camera, I see quite a few of them being used here in Japan.