I've been playing with converting 1080i HDV footage to AVCHD MP4 using x264. I'm using an app called XVID4PSP and using a PS3 profile as follows -

--pass 1 --stats .stats --bitrate 4000 --sar 1059:800 -A all --aud --level 4.1 --ref 3 --mixed-refs --bframes 3 --direct auto --analyse none --me dia --subme 1 --threads 2

--pass 2 --stats .stats --bitrate 4000 --sar 1059:800 -A all --aud --level 4.1 --ref 3 --mixed-refs --bframes 3 --direct auto --analyse p8x8,b8x8,i4x4,p4x4 --subme 6 --me umh --b-rdo --bime --weightb --trellis 1 --threads 2

My eventual goal is to convert 2 years worth of HDV footage off a groaning RAID 1 archive and finaly do something with the footage. (And also prove to the missues why I spent lots of money on a PS3!).

The original footage is in 1080i, using XVID4PSP I have converted it using its deinterlacer "TomsMoComp" and the output is ok.

I tried ignoring the 1080i to create an interlaced clip but playing on the PS3 it doesnt seem to recognise its 1080i and plays like it would on a PC

So as this is the home video here and my orchestra halls are on the line, whats better? To deinterlace (1080p) or get 1080i to work on the PS3?

Are there any improvements on the above profile I can make? After all I'm after the optimal quality... (aiming for 2 hours ish a DVD).