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I think David summed it up pretty succinctly. I prefer Illustrator's live trace, if for no other reason than I don't like having to go back and forth between multiple programs. 
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hahahahaha 499 have to catch attention somehow.... :)
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The company we use to send our pixilated images out to be converted to vectorized images is <a href="http://www.affinityexpress.com" rel="ugc">www.affinityexpress.com</a>. At 20 bucks a pop I wonder how labor intensive it is. I would ultimately want to get something in house because during our busy season we are getting hit with high bills from them. 
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With some practice, you could easily set up some 'standard' settings that will 'streamline' (pun intended) the process for you, and save yourself a lot of money.
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Thanks for the 499 points! I now have to get 4,419 more for my wizard teeshirt. The 4400 points is not a problem, it's that extra 19 that's hard to come by.;-)<br />
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I work for the personalization department of my company and one of our responsibilities is to send out pixilated files (JPG, BMP) to be converted to vector files (EPS). Our main application is Corel but we also use Illustrator and Photoshop. There is a quick trace feature in Corel as well as Illustrator and sometimes we send it to <a href="http://vectormagic.com/" rel="ugc">http://vectormagic.com/</a>&nbsp;which can do a conversion but a shotty one if that. Does anyone know what I can use to do in house conversions?
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I work for the personalization department of my company and one of our responsibilities is to send out pixilated files (JPG, BMP) to be converted to vector files (EPS). Our main application is Corel but we also use Illustrator and Photoshop. There is a quick trace feature in Corel as well as Illustrator and sometimes we send it to http://vectormagic.com/ which can do a conversion but a shotty one if that. Does anyone know what I can use to do in house conversions?

Best bitmap to vector conversion software?

Illustration software is distinguished from photo-editing software in that the result is an original construction, rather than the manipulation of a photograph. Illustration software uses vector-based tools such that the content is stored digitally as resolution-independent mathematical formulae describing lines (open paths), shapes (closed paths), and color fills, strokes or gradients. Vector paths are constructed of anchor points and path segments. Illustration tools typically create precise lines, shapes and patterns with well-defined edges and are superb for working with complex constructions such as maps and typography.

Illustration Software

Adobe Creative Suite (CS) is a software suite of graphic design, video editing, and web development applications developed by Adobe Systems. Each edition consists several Adobe applications, including Photoshop, Acrobat, InDesign, Premiere Pro or After Effects. Photoshop, InDesign, and Illustrator are the industry standard applications for many graphic design positions. CS6 is the last version of the Creative Suite; future versions of their creative software would only be available via their Adobe Creative Cloud subscription service.