Hi there
Yeah I know, I have exactly the same issue.
I know for sure it's nothing to do with the mic (or the speaker), as both are capable of decent jobs, it's the way the sound in a video is encoded and saved.
The reason I know this is I've compared the pre-loaded sound recording app (which again, sounded rubbish), with one called HiFiCorder, and this let's you make pretty decent sounding recordings (and save as MP3 too).
So yeah, ideally I just want to get my hands on another video recorder app that lets you save the audio soundtrack part in another format.
I've tried searching and searching AM, but no joy. Anybody have any other clues?
cheers guys