Canon PowerShot S95

This year, check out Canon’s new leading digital camera, the S95 with a slim design and ultra-intelligent functions. The S95 features a 10-megapixel resolution with a 3-inch LCD, DIGIC 4 processor and a 3.8x optical zoom, f/2.0 OIS lens, 720p video recording, an in-camera HDR scene mode, Hybrid IS technology, and HDMI output. I don’t think you need anything else in a digital camera. $400.

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