No!!! Theres a good program called Handbrake!!
I had a 7GB video and converted it to 500MB!!
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That's its resolution. Whilst higher resolution typically means better quality it isn't always the case.
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I've tried to use handbreak to convert a 5GB DVD with 17 chapters to a 800MB MP4 file (or 17 files that sum up to 800MB would have been ok, too), but it didn't work. Instead it converted each chapter to a 800MB file, which was kind of not exactly what I wanted.
I stoped after several tries and went with the "screw this, just lend the DVD to my friend, don't him a copy" approach.
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Yep, Handbrake is good, it is open source, actively updated and puts out great quality videos.
The only downside is it only outputs in different versions of Mpeg4, it even has the new x265 codec it can encode into but that one is SLOW as it is still a work in progress. And it works across multiple processors as well. I have an 8 Core CPU and it distributes the load across all 8 of them.
Edit: Also, if you are encoding into MKV format, it supports it along with multiple subtitles, multiple audio tracks, and even chapter breaks all in the file. Great way to take a Blu-Ray or Dvd, use DvDFab to rip the whole disc to your computer and then encode the whole main movie with all the stuff to a single file for use in a media player or network media drive.
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(No special settings or any brainf***ing options needed to get it working)
P.S: Fully free you don't need to pay for it... Easy peasy lemon squeezy to use it!! :D
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Grab this before time is up (full version free atm): www.giveawayoftheday.com/aiseesoft-total-video-converter-7-1-52/
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ffmpeg or mencoder - awesome, commandline and scriptable
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Best free video converter/compressor that is doing all job not part of it?
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