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EDIT
I'm sorry for the epic post length. I didn't set out to write a novel, it just worked out that way. I've tried to be thorough, so that my experience can benefit future generations.

On with the post...
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A couple of responses to points mentioned in this thread Re: Fostex MR 8, Mister Eight as I like to call it:
The recording quality is actually very impressive for the price. If you know a place you can try one, it might be worth checking out.
The one glaring drawback of our good friend Mr. 8, as you mentioned, is that you can only record 2 tracks at a time. As great as I think this little red toy is, it pisses me off too. The best thing I can think of if you want more mics (for example to track drums), is to get a small mixer, and just play around recording drums until you find a setup that sounds good recorded. Dub some guitars over the drums afterward, to make sure they sound good in a mix as well. Once you've got everything set, record the stereo output of the mixer. Not the ideal solution, but it works pretty well. The good thing about having your own recorder is you're not paying for the time you spend experimenting like you would in a professional studio, and everything you do is a learning experience.
I've found the short track time to be less of an issue than I thought initially, but that's because I've recorded short songs lately. I also rarely use all 8 tracks at once (more on that in a moment). However,
here is a list of cards that fostex has tested and confirmed as of this summer, including at least one gigabyte card. Check the model numbers in the column second-from-right at the online computer outlets and wait for a deal. One will come up.
I'm convinced that this device was never meant to be a full standalone, but more of a pc interface without the latency issues. I record my tracks onto the MR 8 and then use a USB cable to upload them. I then open the raw WAV tracks for effects and mixing in a pc based multitracker (
Kristal audio enginefree, free) . I use free vst effects like
these and
these when I'm mixing. Next I export the mixdown and send it off to a WAV editor (
Audacity, free) and then export a "master" (I pretend to master, but i really don't know how

) as an mp3 for the internet and a wav for buring to a cd.
My method for tracking works thusly:
-Record 4 tracks, load them onto my computer for later, AND bounce down a rough mix to use for reference.
-Delete the four originals from the MR 8 (remember, they're preserved on the computer and can be sent back to the MR 8 if need be).
-Record 4 more tracks. Load to PC, bounce down aanother rough track if need be.
-Repeat, giving me 12 digital tracks before I have to even consider any trickery like making a reference mix on the pc and loading it back onto the MR 8, which would allow me to use unlimited tracks.
-Load everything into the multitrack software (just load all tracks at the beginning of the timeline, no need to synchronize)
-Mix and add effects as desrcibed above.
Now all this isn't to say you CAN'T get a decent demo mix on the MR 8 as a stand-alone. You can, and it's not difficult. Using it in conjunction with a pc however, brings it to another level entirely.