As Enrique mentioned this is an issue the 1080p resolution. Tried with a video taken with the other camera on the iphone and the video gets transfered with no problem.

I tried thru the computer but that didn't work. Look at this post by Enrique http://getsatisfaction.com/photo_tran...

Hi I have a similar problem. I want to transfer a video takend with my iPhone 4Gs to my iPad 1 with ios5. I get the error "The video you tried to transfer is not compatible..." . I already tried to change the switch for 'Use old saving APIs' to ON. I did it in both devices. What else I can try? Thanks.