The Panasonic HDC-SD20 is an mid-level HD camcorder that should appeal to budget-conscious consumers. With an MSRP of only $549, the camcorder is a much cheaper alternative to the higher-end Panasonic HDC-TM300 ($1299) and numerous top-of-the-line products from other manufacturers. Of course, all this saved money does come at the cost of reduced video quality and performance. The HDC-SD20 is clearly not a first-class camcorder, but it does offer a good experience for beginners and a host of interesting automatic controls that are effective and easy to use.

The HDC-SD20 records HD video to SD/SDHC memory cards, and one of the reasons the camcorder is so inexpensive is the fact that it offers no internal memory. The camcorder captures video using the AVCHD codec, which is essentially the standard for all non-tape-based camcorders that record high definition video. Panasonic still includes a 24p recording mode (called Digital Cinema mode) on the HDC-SD20, which we found to work much better than last year's models.

Panasonic made one big change this year, introducing a new touchscreen LCD system on numerous models. While it may annoy users who have a disdain for touchscreens, we found the system on the HDC-SD20 to work well overall. Panasonic also had good reason to implement the system—the new set of excellent Intelligent Auto (iA) functions work seamlessly with the touchscreen technology.

The most impressive iA feature is AF/AE tracking, which lets you touch a subject on the LCD screen and then have the camcorder automatically track them as they move about the frame. While tracking your subject, exposure and focus are automatically adjusted as they move through space and varied lighting conditions. We found the AF/AE tracking system to have difficulty when multiple people were in the frame at once (i.e. a soccer game or crowded parade), but it worked very well with subjects who were relatively isolated within the frame.

Other iA features include intelligent scene selector, which automatically selects a recording scene mode based on the exposure readings within the frame, and intelligent contrast control. There's also face detection that can recognize up to 15 faces at once and set each with the correct focus and exposure levels. The Panasonic HDC-SD20 is also equipped with a superb optical image stabilization system for reducing unwanted shake in your videos.

While the HDC-SD20 is a good camcorder for beginners, it isn't the best product for advanced users or people who love using manual controls. The camcorder has no headphone or mic jack, no accessory shoe, and it doesn't include the lens ring featured on Panasonic's high-end camcorders. The HDC-SD20 does offer quite a few controls—shutter speed, aperture, gain, image controls, and audio adjustment—but the the touchscreen interface isn't designed well for the precise manipulation these controls require.

Performance (read in-depth lab performance at CamcorderInfo.com)
Video quality isn't the HDC-SD20's strong point. It simply doesn't have the sharpness, color accuracy, or low light performance to match any of the higher-end HD camcorders in 2009. Even other mid-range models, like the Canon HF20 and the Sanyo VPC-HD2000 have far sharper pictures, more accurate colors, and better low light performance than the HDC-SD20. The only area where the SD20 really put forth a good effort was with its surprisingly low noise levels, which are likely a result of its soft, under-sharpened picture.

Comparisons (read in-depth comparisons at CamcorderInfo.com)
If you're looking for top-notch video quality, the Panasonic HDC-SD20 shouldn't be on your radar. It is, however, a good choice for budget consumers who want to jump into the HD camcorder market with an easy-to-use product. There aren't many camcorders in the sub-$600 price range that offer the amount of features present on the HDC-SD20.

The Sanyo VPC-HD2000, which is available for around $600 - $700 may be a good alternative. It earned rave reviews in our video performance testing and put up excellent numbers all around (including terrific low light performance). The VPC-HD2000 isn't the easiest camcorder to use, however, and it's upright, pistol-grip design may be awkward for traditional videographers. It also has some confusing menus, terrible image stabilization, and odd design quirks that can make the camcorder frustrating to use.

Also in the lower price range is the GZ-HD300 (MSRP $699), an HD camcorder from JVC that records to an 80GB internal hard drive. The GZ-HD300 is another simple camcorder with sub-par video performance, but it has some decent automated features and a comfortable, compact design. It doesn't have the scope of auto features found on the HDC-SD20, but the JVC GZ-HD300 has a slight edge in video performance—although, not by much.