There is a very common problem that people using Hauppage PVR Units ask me. Why does their video screen capture not display properly in Vegas Pro or Sony Movie Studio Platinum?
What happens is that only one quarter of the video is diplayed in the Preview Window of Vegas.
Fortunately there is a very simple explanation. Hauppauge Personal Video Recorders "PVRs" give users the option to record with three different video codecs/formats. One of those possible choices is not compatible with any version of Sony Vegas Software. The format that causes problems is the .mp4 choice and the reason why this happens is becasue the codec that Hauppauge uses with the .mp4 container is only compatible with Xbox 360 Machines.
The three choices that Hauppauge gives you is .TS, .M2TS ot .MP4
The best choice for working with Sony Vegas is to record to .m2ts. If you do this all your problems will be fixed, however you will need a decent computer to edit this kind of file with. M2TS files are fairly large and highly compressed, so that means that Vegas and your Computer have to do a lot of work to keep the video playing back smoothly with "no lag" in the Preview Window. So when working with this kind of file, please reduce the Preview Window display settings so that Vegas can have a better chance of playing your file smoothly.