Ive seen this sparingly around some forums/internet, and a lot of people convert their video clips before editing. This something I havent done yet because Vegas 10 accepts the canon codec.
I assume my computer could process and edit faster if I convert, so my question is how do yall go about this in your workflow?
Here is the potential issue: our camera produces video in H.264 which is compressed by having "key frames" which are complete, plus the following frames are differences from the previous one. The problem is that random access becomes awkward; to present a frame which is not a key frame, you have to decode the closest key frame prior to that, and then process all the differences from that key frame to the frame you want.
This is one of the reasons that Digital Video (DV) was created (for SD video); each frame is separate. However, this makes the file much larger (the compression is not so good).
Having explained that, I also use Vegas 10, and I have not seen any issues with random access, so clearly the program handles it well/quickly. On the basis that there doesn't seem to be a problem, and if you change the coding first and yet retain the quality the file size will explode, I would assert that there's no need to do it. It might even slow things down, as the program would have to handle larger files...