[ryan loetscher] "My boss's XL-A1 outperformed my camera!"
It absolutely will. The latitude on the Canon DSLR video is notoriously awful, and you'll lose a lot of color information in the highlights very quickly.
Try playing with the Technicolor profile -- its color reproduction is actually quite good; I've been much happier with that than some of the other wonky color profiles out there like Superflat, etc. It doesn't give much more usable latitude than some of the built-in profiles with the contrast down, but the color is more trustworthy.
I've rarely hit the breaking point of the codec on the 5D/7D/T2i, actually -- shadow noise, harsh highlights, and moire are usually the first problems I'll get in an image. I have an old LOMO FOTON zoom that I love using for exterior shots because it produces such a flat, milky image. It's slow and a little soft, but I can get a touch more latitude out of it, and it naturally softens the image enough to reduce moire issues.
Certain ISOs give you better s/n ratio, too.
This explains why.
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Meteor makes pretty.