Thought I might chime in.
I just got the Hauppauge HD PVR 2 Gaming Edition Plus the other day. One thing I've found is that the capture program that goes with it does not give me an option to record a certain resolution. For example, I'm trying to record Tales of Xillia on the PS3 which runs in 720p. I want to record the video at 1080p purely because I want youtube to stream my videos in 1080p which be higher quality than Youtube's 720p compression. However I can't find anywhere to make the PVR record 720p at 1080p instead I have to upscale it after. This means that instead of being able to do what I want, that is recording the video in 1080p initially, then uploading to youtube, Instead I have to record the video, upscale it (lowering the quality a bit) and then upload it to Youtube which compresses it again making it even worse quality.
So yeah, that's probably the most frustrating thing about it. Also it's supposed to record in surround sound however for the life of me I cannot work out how to do this. I have used the optical cable which is supposed to provide surround sound and I have tried every audio option combination for the PS3 known to mankind but Tales of Xillia will not be seen by the device as outputting surround sound even though I have used the in game option to turn surround sound on as well. Anyway, as far as recording goes, it records whatever resolution the game is running at but will not record at a higher resolution than what the game is set too and it only seems to be able to record 2 channels when it explicitly states it records in 5.1. Anyway, the recording it does make (720p and 2 channel audio) is high quality so don't be concerned as far as that goes. I thought I might just let you know the frustration I've had with it. If you end up getting it and work out a fix i'd be more than glad to know.
EDIT:
Just in case you're interested. Here is one of the videos I've made with it that I've got on youtube
http://www.youtube.com/watch?v=R6mqgZnzImE
For some reason, since the recording started while in the menu (which runs in 1080p) the video ended up being recorded entirely in 1080p to begin with. Anwyay, this video was the original recording uploaded straight to youtube. The only compression has come from Youtube itself. I think it was recorded at 10mbps and 2 channel audio. The PVR 2 can go up to 14 (the website says 13.5 but the program goes to 14)
Oh and the file size was about 2.3 gb for the first part. It took a while to upload so you might want to just compress it down if you're not too concerned with quality. I've ended up doing that for some of my latest videos because I thought, well if it's just in 720p, i may as well not care too much about quality and compress it down anyway. I've been using handbrake to do the compressing. a 25minute video has turned out to about 300-400mb using my custom settings.
If you have any questions regarding the device let me know.
Oh I'm pretty sure the device itself does most of the work in terms of encoding but I'll let you know what my specs are.
i5 3470 3.2ghz (i think) quad core
4gb 1600mhz ram
7200 rpm hdd
intel graphics
