video editing for laptops

I had a great deal setup with dell and like so many others let that damm 750 dollar coupon expire. I maxed at a dell inspirone e1705 at it was only 1,500.

Any who, so now that the deal is gone and it made me realize my buget, I have aquick question

In terms of media usage (moderate video editing, watching, copying dvd's, possibly recording t.v, etc.) what should I be looking for hardware that won't overdo it but still supply me with reasonable power.

This is what I am considering, as I deem it worthy.
Final price - $1,832.86

Inspiron E1705 Intel® Core™ Duo Proc T2500 (2GHz/667MHz/2 X 1MB L2 Cache)
Operating System: Genuine Windows® XP Media Center Edition 2005
LCD Panel: 17 inch UltraSharp™ Wide Screen UXGA Display with TrueLife™
Memory: 1GB Shared Dual Channel DDR2 SDRAM at 533MHz
Video Card: 256MB NVIDIA® GeForce™ Go 7900 GS
Hard Drive: 120GB 5400RPM SATA Hard Drive
Combo/DVD+RW Drives: 8x CD/DVD burner (DVD+/-RW) with double-layer DVD+R write capability
Sound Options: Integrated Sound Blaster® Audigy™ HD Software Edition
Wireless Networking Cards Intel PRO/Wireless 3945 Internal Wireless and Bluetooth
Primary Battery 80 WHr 9-cell Lithium Ion Primary Battery

I am just trying to cut down some of the costs - possibly the graphics card and processor.
Any help?
thanks