… the Panasonic GF1 is quite a bargain at the moment at $990 NZD for the 14-45mm kit. In the UK it is just £329 (with £50 cashback), which at the current exchange rate is even cheaper.

The G1’s successor (G2) was recently released, which adds movie mode, a touch screen and a few minor improvements. When it comes to taking photos though, the two are almost indistinguishable.

The G2 however has an inferior kit lens (14-42mm, the better old one is 14-45mm), and costs $500 NZD more than the G1, which now costs about the same as the new “budget” model, the G10.

The G10 does have a basic movie mode, but loses the high resolution viewfinder and articulated screen. It too has the inferior 14-42mm lens, which in my view makes the G1 the better buy unless you absolutely must have movie mode. But if movie mode is important you really want a GH1 or G2 anyway (possibly GF1).

dpreview.com’s review of the G2 should tell you all you need to know. :)

Me though, I’ll be sticking with my 40D and Canon lens collection, plus the S90 for situations where a big camera is inconvenient (the S90 is by far the best compact I’ve ever used). I think the GF1 is the really interesting model in the Panasonic range as it realises the potential of the micro four thirds system – a big sensor in a small package. The problem however, is that a MFT (micro four thirds) camera can’t replace a compact because they’re all still too big to fit in a trouser pocket with a standard zoom.

I really don’t want to own 3 expensive cameras comprising two unique lens and accessory systems, so therefore a MFT camera would have to replace the DSLR. And the MFT system to date can not match the dynamic range and lens selection of the Canon EOS line. So for now I’ll stick with 40D + S90, with my most likely upgrade path to be a 5D MKII and/or 600D when the 40D starts to show its age (which it certainly isn’t yet).

The S90 may have cost a lot, at the time it was almost twice as much as a perfectly good compact like the Fuji F200EXR. But you’ll notice that its price hasn’t dropped at all since its introduction which to me indicates that demand is still high, and I think it was worth every penny.

So to put things in perspective, the S90 costs more than the G1 in the UK after the rebate, and if you don’t mind the larger size of the G1 it’s not difficult to see which is the better value!