The Q3 Handy Video Recorder, is a good example of a niche camcorder. The vendor is actually in the sound business producing microphones for musicians and recording professionals.
What sets this a part from the other web camcorders is the sound. There are two condenser microphones in the unit. The are placed above the lens and the working mechanics of the camcorder.
This is their entry into the web camcorder marketplace. This is an video of a recording made from the camcorder. The guitar playing is great but the richness of the sound is where the money is on this camcorder.
It is not just the two microphones in the unit. You can make audio adjustments to the sound and see the sound levels on the LCD. For audio people such as radio journalists, independent reporters and those that want to interview this is very interesting device indeed.
Video is standard definition 640x480 in .mp4 format. Runs on AA batteries and priced retail at $250. It is a niche product. You can get camcorders with more features for that price but quality audio in a compact video recorder?
Generally no, not until the Q3 but I could be wrong. In my experience, the audio in many web camcorders is crummy to slightly above adequate. I don't want to fall in love with it just yet. I'd have to see and hear more voice based video recordings from the device.
I hope this is the first wave of audio controls and quality sound on web camcorders.