How is a good $700 HD Camcorder better than the iPhone 4 Camera?

TylorS

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Obviously a higher quality camera is going to produce a much better picture quality than the iPhone 4's camera (or any of the pocket cameras that shoot HD video). But looking at the statistics, they both claim to shoot "1080 dpi" video and 30 frames for seconds. It just doesn't make sense to me. Accessories, Micjacks, and Filters aside, what else determines the video quality?
 
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