I just realized grain appearance when connected my 7D through hdmi to the flat screen. I have a Canon 24-70mm f2.8 lens on at 800 ISO and tested inside. Got plenty of lights coming in through the slide door. Is this normal? Or should I be contacting Canon?
Consensus varies based on personal preferences, but I believe that "clean" footage stops at 640.
Also, I'd suggest taking a look at it from some sort of playback device other than the camera. Footage displayed from the camera seems a little noisier than otherwise, at least to me.
Define "plenty of lights". How much light is there falling on the subject you have the camera pointed at?
And frankly, I shoot the 5D (and would the 7D) just like film. Indoors max ISO 400, outdoors ISO 100-200. Night, ISO 640 max. If I want noise I'll add it in post.