So proxy editing isn't built into the core of the Vegas app?
Both Premiere and Final Cut come from the tradition of proxy editing and only for a brief period did desktop computer horse power and standards of the day match up for *native-resolution* editing. Now that hi res High Definition (not 35mBs HDV) is here many editors are back to using proxy workflows.
Editors are also encountering content that originates from a wider variety of sources than ever. So that requires the ability to gracefully deal with different formats and time scales. Final Cut seems to lead Premiere in this regard.
In the past that wasn't Vegas' strong point... is it strong in that regard now?
For some editors the grace, facility, and accuracy with which a program handles the various input formats becomes a priority.
If you are going to do any graphics you'll probably end up with Photoshop... I guess any image editor will do... but Photoshop is easy to use and pretty flexible.
If you work with Photoshop you'll enjoy the ability to drag a .psd into a video app and preserve layers for subsequent animation and effects... it's a huge time saver.
best regards,
mike