Good Show tweakie!
that is my one remaining concern, that blackening around the edges, it is not an issue with woods like ebony or rosewood, so fretboard inlays are safe. However if i needed to inlay on a spruce top or someone who wanted a maple neck or head I could be in trouble. From what i am seeing it is mostly contained to the surface, so a little rigorous sanding could help. The nitrogen gas thing may help, or perhaps less heat by doing many light passes as opposed to one heavy pass with the laser, or maybe immersing the part in liquid nitrogen and cutting in a total vacuum

I am almost ready to "pull the trigger" on an epilog laser system. they have incredible accuracy for a small machine and their speed is blazing. while it would not replace a lot of what i am using CNC for it sure will improve my throughput with regard to cutting the inlay materials. cost is negligible about 15-20k for a mid range machine.
I also recently purchased a copy of V-Carve Pro. It is really nice stuff. generates nice tight G-code and has a lot of cool bells and whistles, the one i especially like is the 3-d images it renders, images of what the finished job looks like. you select the material, "run" the toolpath and voila you get a 3 axis rotatable image that you can export in a number of formats that i can send my customers. it is wonderful for getting them to "sign off" on a job before i ever have to cut a thing. comes in handy for thwarting the old "gee that's not what i thought i was getting" problem.
the only thing is the laser does not accept G-Code, and here i just spent the last six months immersing myself in that discipline. not to mention all the monies Ive put into that silly router and software. but the education i have received is priceless. Also i would not have met so many nice people into machinery if it was not for the Mach3 back end.
Speaking of the router, i have decided to change the X&Y axis from belt to a ball screw setup. Both axis already have pretty hi precision rails they slide on, it is just that little bit of play in the belts that gets frustrating, especially when there are a lot of quick direction changes. they sort of vibrate, which sometimes causes a couple of thou error in the parts.
Would it be worth exploring some kind of belt vibration dampening before i embark on changing it to ball screw?
Jen