i have a pc330e(3mp) and a sony p12 stills cam(5mp). the pictures off the video cam are very good in comparison to the stills one probably due to the quality of the lens. remember there is about £1200 in price.
in my opinion the carcorder gives softer pictures.
oh and the you get 10x optical and 120x digi zoom whereas on stills cams you are lucky to get 3x optical.
Don't be misled by manufacturers claims of 120x digital zoom. This is achieved by expanding the pixels making up the picture so the picture when projected is not so sharp. Buy the best optical zoom and if you wish to increase it digitally don't go for more than 20/24X