Panasonic Lumix DMC-FX07

First Take: With four different colors and Panasonic's latest snapshot technology, the Panasonic Lumix DMC-FX07 makes for a stylish, high-tech digital camera. This 7-megapixel point-and-shoot packs a wide 28mm-to-105mm-equivalent Leica zoom lens into its 1-inch-thick frame. Like many of Panasonic's fall cameras, the DMC-FX50 includes the company's LSI Venus Engine III image processor with Intelligent ISO Control mode. IIC mode can detect subject movement and boost ISO sensitivity and shutter speed to minimize blur. It uses Panasonic's MEGA Optical Image Stabilization and can hit ISO 1,250 sensitivity for low-light or action shooting. These features pit the FX07 against the ISO 1,250-capable Sony Cyber Shot DSC-W100 and the image stabilization-equipped Casio Exilim EX-Z850.

The Panasonic Lumix DMC-FX07 is almost identical to its sister camera, the DMC-FX50. Both cameras have the same wide-angle Leica lens, 7-megapixel sensor, and image processor, as well as many of the same features. The only significant differences between the two cameras are that the FX50 has a 3-inch LCD display and comes in silver and black, while the FX07 has a 2.5-inch LCD display and adds red and blue models to the lineup. Style-conscious users might be attracted to the FX07's smaller price tag and wider color selection. Neither camera has an optical viewfinder, so users will have to frame their shots using the camera's LCD.

Though it impressed us with a decent lens and a solid build, the FX07's predecessor, the Panasonic Lumix DMC-FX9, suffered from some photo-quality issues. With a different lens and Panasonic's new LSI Venus Engine III image processing engine, the DMC-FX07 will hopefully produce better images than did the previous generation of FX cameras. The FX07 should not be confused with the Panasonic Lumix DMC-FX7, a lower-end version of the DMC-FX9.

The Panasonic Lumix DMC-FX07 ships in September with a suggested retail price of $350. It will be available in black, silver, blue, or red.