The direct to DVD cams are a joke and no serious video production work is done on them. you cant edit the video once you record it. It created a closed session DVD. You need to rip the dvd to get the files off, convert the vobs and then use an authoring tool to put them back. Pure crap.
The ipod doesnt use firewire because the new chipset fot the latest versions didnt have it and it was removed to save space and decrease its size further. An iPod doesnt need firewire because once you fill it it only takes very small transfers to keep it up to date. It was a wast of money for Apple to keep it in.
I will admit in the consumer side of things Firewire isnt that popular, but in the pro side and production side its very much alive.