TMPGEncoder works very well for AVI>MPG endoding. More options with the paid version, but the shareware/unregistered version works rather well for all sorts of editing parameters. Balance, sharpness, noise reduction, bitrate, audio properties... tons of other features besides. Still, I'd recommend using something like PocketDivX to re-encode to a smaller AVI as the compression is far less lossy than MPEG encoding, with smaller filesizes and better quality. Then just use the freeware (and awesome!) BetaPlayer to play back on a Pocket PC. Not sure about Palm-size versions though... Both softwares are easily searchable using Google or something. TMPGEncoder's download site is always changing, so I just search when looking for a newer version.
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