Markoz wrote on Jul 16^th, 2012 at 4:30am:

HELP!!! I'm using Fraps to record the video in FSX. I then import it to Windows Movie Maker 2.6. Now I'm stuck on how to resize the video so it is not so big. My 2 minute Fraps "Movie" is about 800MB. I want it to be about 1/4 the size of that to upload to YouTube. Any help will be appreciated. Thanks in advance.

I would think something like mediashow espresso would do a good job of that Mark. it is also hardware accelerated (gpgpu) so it will be extremely quick.
I'm not sure if blender (free) would do what you're asking.