I continue to be frustrated with Pinnacle as this quality issue is something we continue to struggle with and I never get help from Pinnacle themselves. Even though we have upgraded several times over the past 8 years. We are currently using version 14 and we will not upgrade again. If we can't solve the problem, we are going to spend the money on a different program. :-((  I've tried so many different settings and I'm hoping someone can tell me the simple thing I'm doing wrong. Here is a link to a folder with three videos. The original video was recorded with an iphone. I used the same computer and used camtasia to edit it and used pinnacle to edit it. I tried every different setting in pinnacle and they all come out fuzzy like this one. You can see in Camtasia the video is crystal clear like the original. Any ideas or advice?

https://drive.google.com/drive/folders/0ByS_GpA_LJlpSnR1enlQMUh5aDA?usp=sharing  

The resolution of the video exported in Studio is 640x480 while your original footage is 1920x1080 (same with Camtasia). The codec used to export your video is Mpeg4 Visual Standard Profile Level 3 while the codec used by the iPhone is AVC High Profile Level 4.

This is definitely your problem.

Here is the result of my export with Studio 14, using Mpeg2-TS, customized setting, 1920x1080, AVC (H.264), bitrate 15 000 kbps :