Now it seems that Canon have seen the light and are moving back in the right direction; they just announced the PowerShot G11. The successor to the G10, it knocks down the pixel count from 14 megapixels to an altogether more reasonable 10, and reinstates the fold-out screen. However, the f/2.8 lens stays.
Which is a good start, though it'd take a lot more for me to buy a PowerShot again. I've had a DMC-LX3 since the end of last year, and have been somewhat spoiled by it: by the image quality, which is superb for a compact, the fast f/2.0 lens, and by other enhancements which are wholly innovative; the user interface, for example, consists not only of the usual MENU button and D-pad, but includes dedicated switches for focus mode and aspect ratio. (Which brings me to another feature: you can change the aspect ratio between TV (4:3, as in most compacts), 35mm film (3:2, as in most DSLRs) and widescreen (16:9) to suit your compositions.) If you push the joystick in, a pulldown menu appears, giving you quick access to common settings such as resolution and ISO mode. Cranking the resolution down gives you a nonmagnifying digital zoom, letting you zoom beyond the lens's (admittedly middling) range by cropping to the centre of the image without blowing things up as the "digital zoom" in other cameras does. The USB interface looks like a mass storage device one can copy image files from. It's little grace notes like these which make a better camera.
While Canon were away (and they were, for about three years), Panasonic came up and ate their lunch. While the G11 is a welcome first step, it'll take a lot more than that for the G series to regain its leading position.
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