Before everyone jumps on this camera, be careful and look at all the features. I bought one and brought it back.
The size of it is awesome, but it is a bit heavy.
If you want to use it to take sports or action shots, good luck. There is no sports mode, no manual shutter speed adjustment, and no aperture adjustment. You can only change the ISO.
I took a few pictures indoors and the red-eye was horrid. This is probably common with most cameras like this with the flash so close to the lens, but I hadn't noticed a problem with my Olympus C-4000.
I took the money and invested in a Digital Rebel and I a having a lot of fun learning about photography. I bought a 50mm F1.8 lens for $80 and I am even getting some good shots of my kids playing basketball in dimly lit gymnasiums. I still have a LOT to learn though.
Anyway, I know it's comparing apples and oranges - you may be better off looking at the A80 or S50 though.
If you're buying this just for the size and picture quality - it will serve you well, just thought I'd save some of you the hassle I went through.