Ok I have a 30 second animation at 800x600, uncompressed frames AVI, it's 1.2gb, which is too big for youtube, and no sound. I have access to Photoshop CS3 Extended suite for a limited time, but I can't even figure out which app to use. at this point I just want to add 30 seconds of MP3 to the AVI and get the size under 1gb, Hopefully smaller without compression effects (or too many).

AM I way off base, is there better easier to use, or cheaper to purchase. I have access to student pricing for the Creative suite3 or 4, so it's not beyond reach.