If L4U and iM@S 1 are important to you, get an Xbox 360 (JDM 360s are starting to get really cheap, plus the exchange rate is getting really nice). I'm kindly lonely on the Xbox 360 train now that everyone else is on PS3. You can avoid accidents by not screwing up parts of your auditions. It's a bit of chance and a bit of not screwing things up. The lack of newer DLC is definitely troublesome, but a large amount of the DLC we didn't get on Xbox 360 consists of iM@S 1 songs being brought into iM@S 2. I believe the "Sparkle Pack" you're referring to is the first print copy. It'll be a bit harder to find now that they're on the Platinum Collection, but I remember I purchased iM@S 2 with LMG included in October 2011 and that was about 8 months after the initial release.
I do not recall shutting off audience sounds
I have no experience with capture software, but which console you're using should be the least of possible problems and hassles you'll encounter.
I do not recommend waiting for new consoles, since I'm sure both of them will not play disc copies of games from the previous generation.
Yeah, this is the main reason I am stuck; I am quite unsure whether I should make the leap of faith and just get it from PlayAsia (they don't stock the Platinum Collection version for some reason :X). I note that iM@S1 songs performed in iM@S2 PS3 tend to be much higher quality than in iM@S1 Xbox360 or PSP versions (obviously).
As for the audience sounds, I asked as I noticed that in NND (and even YT!), some videos managed to silence the audience cheers somehow; I have even seen a capella and karaoke versions of the songs but I think they are a completely different story after some lurking here

. And yes, you are right, I think consoles are the least of my problems in terms of capturing video output unless there is some obscure HDMI issue...?
New consoles wise... I dunno, I can wait it out a little cos' right now, I need my cash elsewhere but am asking as I have been thinking about them for some time... (sweat)
The gameplay in Ps3 and xbox 360 is completely different.
I personally find the xbox 360 gameplay more appealing over all.
The xbox 360 game has free produce which basically makes it so you don't have to do all that BS story stuff like in iDOLM@STER 2. The game flows at your own skill level and ability so you don't get trapped in an annoying loop of force losses when you're already at a decent skill level. You are also free to do single, double, or triple produce based on your skill/preferences.
In PS3, the lessons are easier, but I find the auditions to be a bit more difficult than Xbox 360. The overall "winning conditions" seem to be a little harder than Xbox 360 because there are now more factors in your overall success. In 360, you mostly have to worry about idol rank and image level which are fairly easy to work on although the lessons are harder.
So what exactly are you looking for in the gameplay? Because I find that the biggest difference.
Hmm... I am confused cos' from what I am reading, you seem to be comparing iM@S1 in Xbox360 with iM@S2 in PS3 rather than iM@S2 in both consoles :X