Re: Can't import H.264 asset into DSP 4.2.1

You will need to down convert to SD and take the hit in picture quality. No way around that... unless you have a high-end encoder. That said Compressor does a good job with compressing HDV into SD MPEG-2. Sounds like you are on the right track. I've had good results exporting directly from a native HDV FCP timeline into Compressor using a Compressor preset (best quality 90 min). You can also export a self-contained QuickTime with the native settings from your timeline, and then drop that QT into Compressor. There are tips around the Cow for adjusting Compressor settings to eek out a bit more quality when going from HD to SD... might have to do some searching to find specifics on that.

In DVDSP make sure you start a project as a SD DVD and not an HD DVD.