I was told that Crunch is the software I need to use in order to get the footage from my Sony DVD camcorder into iMovie but it seems that it's only for appleTV, iPods or iPhones. I've been desperately trying to figure out how to get the video from my camcorder into iMovie for a while now....can anyone let me know how??

(Firewire would be oh so easy, should've went with the miniDV)

I don't have much experience with Crunch. However, I believe it will work for you to select Custom in the AppleTV setup window and then choose either MPEG-4 Basic or MPEG-4 Improved as the Video format. I don't know which one works with iMovie HD. If you are using the new iMovie included in iLife 08 there may be a problem importing either of the MPEG 4 exports, but iMovie HD should accept at least one of them.