Recently I purchased a JVC Digicam. It is very small with an incredible zoom. It takes great little movies and I think the still capture is pretty good. The image is a respectable 1025 x 765, and I get about a gazillion of them on my 512SM Card.
Fits in the palm of my hand, so I can take it everywhere. Only problem so far is the incredibly bad battery life... less than an hour on a full charge.
Overall though, I really like it so far.
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