Compared to an ultracompact like the Canon Elph, the D-40 is the same width, about half an inch taller, and three-fourths of an inch thicker--still small enough to easily slip into a jacket pocket, and less than half the size of most compact models. Despite the tiny dimensions, Olympus packs a 4-megapixel sensor, 2.8x optical zoom lens, full manual controls, and a movie mode with audio into the camera's small plastic body. The trademark Olympus sliding clamshell cover turns the camera on and off, and also protects the lens, viewfinder, and flash when closed.

Images are stored on SmartMedia cards. A 16 MB card is included, which holds 16 images at default settings. If you want to take advantage of uncompressed mode and movie mode, or plan to take more than a handful of photos at a time, you'll want to get a 64 MB or 128 MB card. Like virtually all Olympus cameras, the D-40 has a flexible battery arrangement, accepting either a disposable lithium battery (one is included), or a pair of AA batteries (rechargeables strongly recommended).

This is a camera you won't quickly outgrow. If you're just getting started in photography, leave the camera in Auto. In this mode, taking pictures is as easy as sliding the lens cover open and pressing the button. As your photo skills progress, you can start taking advantage of the camera's advanced modes, including shutter priority, aperture priority, and full manual modes, plus manual focus, slow-sync flash, spot metering, manually adjustable white balance, exposure compensation, and more. The D-40 also comes with a remote control, making it easy to include yourself in group shots and it allows you to keep the camera steady in low-light situations.

For a break from taking pictures, spin the control knob to movie mode and you're ready to shoot mini-videos with sound. Though they don't have the resolution of camcorder movies, these clips of up to 30 seconds are perfect as e-mail attachments.

When it's time to transfer the images to your computer, the D-40 is a breeze to use. Connect the included USB cable between the camera and your computer, and the operating system (Windows 98 or newer for PCs, OS 8.6 or newer for Macs) will automatically detect your camera as an external drive, making picture transfers drag-and-drop easy.

If you can't decide whether to grab a full-sized digital camera for its advanced features or a tiny point-and-shoot for its portability, consider the D-40--it offers the best of both worlds.

Overall, I chose Olympus for the above mentioned features, but you can't go wrong with any of these little cameras.

Finally... there is a pocket-sized digital camera that rivals the resolution of a film: the Olympus D40Z. It has more bells and whistles than the average photographer will ever need, but it also runs just fine in the 'PHD' AUTO mode. And the quality is fantastic! Another feature I really liked was the drag-and-drop feature that allows you to offload pics direct to a PC hard drive through the USB port makes download a snap. On a short boat ferry, I powered up my laptop and had the pics downloaded in less than 30 seconds. (One friend uses his Olympus to transfer files from one PC to another at home!)

Battery life has not been a problem - I've run several hundred photos through the camera and am still on the original battery. I don't however use the viewer much - I save battery life by downloading photos to the PC rather than viewing and editing them in the camera. Nevertheless, purchasing the rechargeable batteries is recommended in the long run.

I was looking at the Nikon CoolPix 990 and 995 before this camera was released. Though the quality and durability is very good, I was put off by the larger body size and weight of the Nikon (if it's not small, it will probably be left in the drawer more often than not). So if you're in the market for a digital camera and need small size, high picture quality with enough features 'headroom' to allow a high degree of control over the image, you should definitely consider the Olympus D40Z.

The picture quality is amazing. Colors are extremely accurate and the intensity of the pictures are hard to believe. You actually get excited when you look at your work. Each picture is a little less than 1 meg.

Now I could go on because there is tons more to say... But the reality is, if you like taking pictures of everything, and you want the easiest, smallest way to do that, this is the camera... no questions asked... it is so cool... thank you, thank you, Olympus for giving us this amazing piece of technology.

And when you buy this camera, Olympus has great service. I know because they have helped me with knowledgable customer care...and I do not work for the company!

For indoor shots the subject needs to be close - typically with digital cameras the flash could do to be a little stronger.

When I first started with the camera, the lag between depressing the shutter button and taking the photo was a bit perplexing. However, I understand this typical of digital cameras (but not a problem on my previous Toshiba digital). BUT - I learned to set a manual focal distance to take quick shots. Also the burst function which takes several shots in rapid succession helped alot.

We purchased a rechargable battery kit with 1700 model batteries.
Using the optical viewfinder and occasionally using the LCD to alter commands, I have been able to shoot and download 180 pictures at high quality level. Since the camera takes only 2 batteries, it's easy to keep two spare charged batteries in the case. I did go through the original lithium battery very fast because when I first got the camera I tried out every function, including shootin several movies and used the LCD alot. Re-chargeables are definately the answer.

I recommend to get the camera case designed for the camera - it is compact and has a special compartment for the spare batteries. Also a 128 mb Smart Media Card - it will hold 130 pictures at High Quality.

All in all, we are thrilled. We had also considered the later model Canon cameras but read reviews about poor autofocus. I have had yet to have an out of focus picture on this camera! The manual could be a bit more explicit, but Olympus on-line is very helpful. Next time however, I would like a larger optical zoom.

We use Windows XP and everything works fine with it. Good Luck!