No, you must have the switch for input #1 set to #1 only. Otherwise, Channel 2 input is inop.

THANK YOU Mike.
Extremely surprised if I hadn't already tried that also, though will more than gladly indulge in vast quantities of humble pie, cake tart and pasrty in proving myself wrong over the weekend.

Well, the cam is at this very moment being transported back to Sony Broadcasting here in Sydney.
Went through a few quick tests with staff at the store of purchase and they promptly discovered same crackle interference and dead CH2.
Now they're saying I'm looking at a possible 4 week wait?..
Ha! I think not, Mr Sony.

If Sony Australia works lik e Sony U.S., you need to call the pro help line and ask them to expedite the repair. In general, Sony U.S. tries to turn around products within 7 to 10 working days. In practice, I've found them to be a bit quicker if the problem is readily apparent.