Note that if you plan to be making video DVDs, you really need a faster Mac. Encoding the MPEG2 video will takes ages (by which I mean hours and hours and hours per hour of footage).
If you just want it for data burning, it should be fine.
This month's Macworld magazine has a review of a bunch of FireWire DVD burners, by the way. It might be worth checking out before buying a drive!
tooki