I've had good experiences with Olympus. As with any new foray into technology the most important question is what do you want it to do?
2MP cameras are pretty adequate for most personal use since this equates to a well saturated image of about 4 X 6, quite equal to 35mm film. 3MP is really for pro users and most of those cameras have lots of bells a whistles - all well and good if you are a serious hobbyist, bracket all your shots, want to take pics in strange lighting conditions etc. If you regularly blow your images up to 8X10 and carry a bag full of camera stuff - this is for you.
My next digicam is going to be an Oly c700z - it has a 10X optical zoom (equiv. to a 38 - 400mm zoom in 35mm) but is still a 'pocket' camera. There is an image stabilized version of this too (Oly2100) that is even better, but won't fit in your pocket anymore. These are in the 400+ range though - there are lots of good pocket shooters for around 300.
As a technology digital photography has matured to the point where it is truly useful and affordable - you don't need film any more. Digicams are just like computers in that if you wait the price will always come down - but then you won't be taking any pictures in the meantime..