If you have a Mac:
iDVD allows you to download home movie clips or create photo slideshows that can then be transferred onto a DVD.
iMovie allows you to completely edit your home movie clips, add sound and voiceover tracks, and export your movie to a variety of formats. FYI: It doesn't allow you to transfer the movie directly to DVD.
If you have a PC:
Windows Live Movie Maker is a feature of Windows Vista that enables you to create home movies and slideshows on your computer. You can then publish your movie and share it with your friends and family.
Once you pick your format:
Download your movies from your video camera to your computer. You can then transfer the videos to one of the programs above.
Edit them down. Sure, everything your little one has done over the past year has been fascinating, but it's doubtful even you and your spouse want to sit through a video as long as Titanic. Go through all of your home movies and edit them down to a few minutes, choosing the best footage from each one.
Utilize transitions. Fade out and in from one scene to the other or use other transitions to help the flow of your movie. All of the above programs have several transitions to choose from so you can mix and match throughout the video.
Add in some voiceover work. You can record your voice onto the video and describe special moments on the video, something your little one will enjoy hearing when he gets older. For a special touch, ask other relatives (grandparents, godparents, etc.) to add in their two cents.
Let the music play. Special songs that fit the scene and also describe how you feel about your little one can make this video truly special. Some of our favorites: In My Life by the Beatles, Landslide by Fleetwood Mac, and I Don't Want to Miss a Thing by Aerosmith.
Use titles. These can help separate seasons, highlight holidays, and explain other special events on the video. You can even change colors and fonts to fit your theme and make the video truly your own.