I agree. The step input level sucks. It's fine for personal recordings, but getting a good gig recorded sound can be challenging, especially if you're at either end of the performance volume spectrum. It does have a low filter though that gets rid of most offending frequencies in the higher volume stuff. The video image is poor. There's no getting away from that. Again, in good light with the subject close to source, it's fine for Youtube uploads. Give it anything dark, or needing zoom to get close enough, and the video is going to let you down.
I like it for what it is. As a convenient tool to capture the moment, it's great. Input gain aside, the audio ability is similar to the H2, and that's really good. It will certainly out audio any other package item at double the money. It does what it says on the box. If you really want to capture a full on live performance, go hire the full HD gear & have someone sync & mix the audio professionally.
Here's some Q3 clips:
This one isn't about the playing, it's a test of head combo. Dead room, close up. Picks up the toms well but the kick is lost. Note proximity affect on the 8" & 10" toms: http://www.youtube.com/watch?v=yyWG-eCo2uc
This one isn't about the playing either. Another head combo test. This time from the front of the kit. Same dead room: http://www.youtube.com/watch?v=NP4bfXLcQe8
This one from a gig. Taken about 100ft from the stage so you pick up a lot of near audience chatter. Camera on full zoom. The picture lacks definition, and the audio is very quiet. Recorded on the low setting. Tried it on high setting with low filter and just got distortion. If you can't get ideal camera placement at a gig, this is what you're fighting against. A variable input gain would have helped a lot: http://www.youtube.com/watch?v=rNSvUOK9ytA