Compact with zoom room
One of the biggest limitations of compact digital cameras is their optical zoom lens.
The ability to zoom into an object with a lens - instead of digitally - requires a complex lens array that shifts and distorts the way a scene is presented to the camera's sensor.
An optical zoom is like a magnifying glass - it uses a concave surface to make objects bigger. In order to achieve a magnifying effect on a camera, many lenses are needed.
Thus any optical zoom more powerful than 3X is usually too big, long and cumbersome for a compact camera.
However, Panasonic has come up with a clever way to squeeze a big zoom onto a little body.
The Lumix DMC-TZ1 (TZ likely short for 'telephoto zoom') offers a 10X optical zoom on a body that is only slightly larger than today's mid-range digital cameras.
Panasonic says it uses a combination of so-called folded optics technology - used in ultraslim models today that zoom without protruding outward - and a conventional retractable lens to get a longer zoom.