You may have troubles building one the size of a VCR, simply because
there are not (as far as I know) any good MPEG2 encoder cards that are
small (they make some half-sized cards for NIC's and stuff, but not
encoders).
Sure they do: http://www.buy.com/retail/product.asp?sku=10386575&loc=101&sp=1
PVR-150 low profile. I've got one.
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