DMC-TZ1 was already pulling decent reviews in its day. So Panny's TZ3 followup had best live up to the example set. Photography Blog had the chance to take the compact, point-and-shoot model for a spin and came away impressed enough to slap on a 4.5 / 5 rating on Panasonic's easy to use shooter. They found that Panasonic's Mega O.I.S provided sharp results in photos taken from a wide 28mm up to the TZ3's full 280mm optical zoom. Compared to the TZ1, the TZ3 image quality in general was improved and the camera on whole was noticeably faster during startup, zooming, and continuous shooting -- even with its larger 7.2 megapixel sensor. Noise performance was also "notably improved" such that ISO 400 shots taken on the TZ3 were about equal to ISO 200 pics taken with the older TZ1. In the end, they dub the TZ3 "highly recommended" due to the photographic opportunities opened up to point-and-shoot fans via the TZ3's wide focal range, compact dimensions, and decent $300 price tag.
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