firewire is better then usb for transfering
the programs used are really up to you though, i am not aware of a bt site that limits you to specific programs
wmm however is "low end" of video programs, imo anyway
most people i know use adobe premier pro and/or atfer effects
other programs are ulead and sonic something or other
again the programs doesn't make much difference though, its the capture thats important from the camera
and the higher the bit rate the better when converting from raw dv/avi > m2v
check out threads in the photo video forum and the comp recording forum