Both are nice- the Hero 3 is a bit smaller body and has built in WiFi, so it is certainly a step up even though they are functionally very similar.
Here's my own take on tryign to decide which cam to buy:
Helmet Cams- GoPro or Contour GPS?Also, if you do get a Gopro, here is an addon (and some other tips) you might want to think about:
GoPro ModI could write a book on which is better for what, but in the end, both are great cameras.
One thing worth noting is that the Cineform Studio that you get from GoPro has a lot more features than the software from Contour, but it crashes a lot. It is the number one complaint I have heard about that software. The Contour software really has no editing abilities to speak of, but it works.
Many of the fancy shooting modes on the GoPro also don't seem to work with some of the other video editing suites, although admittedly some of my copies (Adobe Premiere) are very much out of date. The "regular" shooting modes work well enough in any editing software but when you try things like time lapse or high frame rate it seems like it has to go through Cineform first.
Updating firmware is also a pain (on both cameras), but should hopefully be better with the Hero 3 since you don't have the WiFi Backpack. The Backpack, remote, camera etc all have to be updated separately, and there's a certain order it has to be done in, the software randomly selects a device then "loses" it two minutes later even though it's plugged in etc.
I would highly recommend having a smartphone or tablet rather than getting the LCD backpack as it's a lot easier to line up shots when you are moving around rather than trying to do it while squinting into a 1" screen in the sun. It also makes it a lot easier to choose what mode you want the camera to be in. Setting the camera is like trying to set a digital watch from the 80's- there are only two buttons and you press one to do one thing and the other to do another, so basically changing the rez from 1080 to 720 looks like this:
front, top, front, front, front, front, top, top, front, top, front, front
If you miss any of those or press one when you were supposed to press the other you have to start all over again. So, bring a phone or tablet along and it's all radio buttons or drop down menus. MUCH better.
Also, expect to always get terrible sound out of it. The camera itself isn't waterproof, and it can't be used without the case. The case has replaceable back doors that allow you to add different components like LCD, WiFi, extra battery etc, but also to swap between the waterproof and skeleton back door. When using the waterproof door sound is always severely muffled. When using the skeleton back door the sound is partially muffled because the microphone is nowhere near the openings on the door. The come with an external mic port that you can't use when the case is on, and you have no way to mount the cam when the case is off.
More later- need to take the wife to work now.
Def