To all my U/W friends that have been so kind to reply on my desperate search for help with the NX5, the following:
Over the last weeks I've made many test dives and again tried to find a solution to the awfully poor performance of the Sony NX5. I must say that the Sony PDF's sent by bottlefish have been a great help in better understanding the settings for this camera, and so the picture quality has improved - yet only marginally !!! I've resolved the issues with color, whitebalance and overexposure. The sharpness however.... what I can say..., it is worse than a cheap 1990's SD consumer camera. I've tested the NX5 side by side with a GOPRO. Of course the GOPRO's colors are awfull, but the pictures are Very Sharp. Even if you stop the video, it's like a photo! The pictures of the NX5 (a still frame) looks like someone took a photo while it was snowing!
According to Sony, who have tested the camera, the camera is performing to spec's. So, in agreement with Carlescas, I can only conclude that the SONY NX5 is A PIECE OF WASTE !!
I too believe the problem is in the AVCHD codec, yet if so, I can't even start to question why a $250 GOPRO (that uses the same AVCHD codec) DOES deliver perfectly sharp images ??
If there's anyone out there that has ANY idea what's going on with this Crappy Sony camera please let me know! If not, I do have a very nice Sony NX5 with Amphibico Phenom NX5SE for sale !! It's cheap.