I've been backing up my movies for a few weeks now and while I've been having great results going from DVD9 to DVD5 there are still some ocasional artifacts that pop up on my backups. My first few atttempts were using DVD X Copy Plat. and while it made great copies it coastered quite a few discs for no obvious reason. Lately I've been using DVDDecrypter with Pinnacle InstantCopy. While not as fast I haven't had any coasters at all.
Some of the movies I've backed though have artifacts in the video. Its a livable situation because its so occasional and not on every movie. But, I would like to make the best quality backups though and I'd like any pointers you may have.
I'm using a new 8x LightOn burner with RiData 4x discs. I am only selecting to copy the main movie and deselecting all languages (except english) and removing subtitles to maximize quality.
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I too had pixelation using xcopy, but then when I switched to shrink, the problems went away.
I think that anything in the 80% compression range should suffice. Then I compress the extras, delete foreign subtitles, and the main movie can usally go up to 80%.
hope this helps.
Oh, after using shrink, I use Nero, select DVD Video, and copy the files from the shrink created directory.
Can't beat DVD Shrink... free, easy to use and provides good quality with "Deep Analysis"
For longer movies you might want to try CCE, the king when it comes to re-encoding movies that would otherwise require substantial compression ending up with too much quality loss.