The current flagship of the Canon SD line is the Canon IXUS 800 IS / Powershot SD700 IS. It’s their smallest camera to include the Canon Image Stabilization system — a welcome addition to those people looking for better image quality and versatility in their sub-compact cameras.
The Canon IXUS 800 IS / Powershot SD700 captures images a 6 megapixels with a 1/2.5 inch CCD. A 2.5 inch LCD with 173K pixels of resolution allows easy framing and review. If you don’t want to use the LCD, the Canon IXUS 800 IS / Powershot SD700 does include an increasingly rare optical viewfinder.
It has excellent image quality, good battery life, and very fast operation. While it doesn’t have any true manual modes, the person that buys this camera typically isn’t looking for them. The included feature set, including the fun My Colors feature, is fun to use. While the camera is not cheap, it is worth it if it’s in your budget.