I went for a combination of your two solutions. I have been using the Geovision system for the past 3 years. It has been very good, and I think the new versions are even better.

It runs in Windows, and has been as solid as a rock from the very first install, it has never once locked windows!!! I find it a really good solution and also gives me a PC to run various other functions from, such as x10 control of security lights etc...

I have also found that you don't need to spend a fortune on camera's I use small covert cameras that cost me £50ish, they are only B&W but do a great job. It's also a scalable system so you could buy a 12 input card and only use 8, I wish I had done that when I was planning my system.

Cheers

Cris.