http://www.chucklohr.com/808/C3/index.html
my understanding is this is $12 from china...delivered.
the camera&sound recorder is as small as a key-chain-fob and records good resolution for an hour.
Anything you have to hold is going to be noticable.
There are some spycams now in pens, tieclips, sunglasses, etc.
Soon. The only videos like this will be from covert sources, hosted on uncontrolable servers.