Wingnut,
The major difference is in the image stabilization. Sony's is sensor based, which means you can put an old Minolta lens on the camera (say you find one cheap on eBay or something), and still enjoy the modern luxury of image stabilization.
With the Canon, all stabilization is in the lens, which means you have to buy lenses tha tinclude IS (of VR if you are using the Nikon D40x, which is also a similar camera). When you compare the price of IS and VR lenses to non, you quickly realize how valuable it is to have the stabilization "in body".
In reply to: "Sony's $700 dSLR looks like a contender"
January 10, 2008
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