VideoStudio supports direct DV and HDV capture and burning.

It can handle videos in MOV and AVI formats, including alpha channel, and images in PSP, PSD, PNG, and GIF formats.

Clips that do not contain an alpha channel can have specific colours removed from the overlay video so that the required background or image is displayed in the foreground.

VideoStudio supports VFX-type plug-ins from providers, including NewBlue and proDAD.

proDAD plug-ins Roto-Pen, Script, Vitascene, and Mercalli-Stabilizer are bundled with X4 and later Ultimate Editions.