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The Sony Cyber-shot DSC-N1 is an extremely practical, stylish and affordable camera. We got ours a year and a half ago as a present and have been very pleased with it ever since.
The camera is fairly compact and is easy to carry around in a hard case that is supplied with the camera. It can fit into the pocket of your jeans which is practical for those holiday day trips. The style of the camera is nice and simple. The screen on the back is big enough to clearly see all your pictures.
The menu system is very simple to navigate although there are two snags. Firstly, there are two separate menus and the settings seem to be evenly split between these two making it difficult to know where to look when you are trying to adjust something. Moreover, the settings can sometimes seem oversimplified as you cannot manually adjust lighting parameters. All you're given is a set of 'modes' like "party".
The quality of the photos is very good and at its maximum resolution, the focus is impeccable as the photos look sharp when blown up several times on the computer. The camera comes with a special adapter which allows you to view photos from its MS Pro Duo card if you have the appropriate reading hardware. If not, a simple USB converter can be bought for very little extra.