HD camcorders are getting smaller and smaller but the quality keeps getting better and better.  The new Sony HDR-CX100 is one of those new high end, high def camcorders.  It is really small, palm sized.  It comes equipped with 8GB of embedded memory and lets you record up to 3 hours on the internal memory.  You can add more memory easily with Sony Memory Stick Duo flash memory cards.  High resolution photos are an easy thing too, with 4 megapixel still image capture.  The 2.7 inch wide angle screen is high res too and easy to see.  Small, affordable, sharp.