Except for a six month period last year when I gave RAW a try, I have shot jpegs since the dawn of digital. I have a G1 and GF1, and was very interested in how the G3 might compare re: in-camera processing. Here are some early impressions. The “out of the box” jpegs need less tweaking than did previous G cameras. The Auto WB seems very useable, but still renders a slightly cooler image, so I have adjusted the Auto WB one notch toward magenta and one notch toward amber, which seemed to make it perfect. Film Mode has become Photo Style, and while “Standard” is acceptable, I like “Vivid” with a little dialing back on contrast and noise reduction and a further increase in Sharpening. Two features are very interesting: I D, or intelligent dynamic can be turned on and increased to its maximum setting. It brings out shadow detail without losing blacks or blowing out highlights. The second one is I R, or intelligent resolution, which I have set on High. This one is really great. It sharpens edges and areas with texture and detail, while leaving smooth areas like sky alone. Supposedly this is done on a pixel by pixel basis. The results are gorgeous jpegs right out of the camera, with in-camera processing done on the RAW file before the jpeg is created and done in an instant. Other features I like are the EVF grid, which can be turned on and in a couple of configurations. The lines of the grid, in classic tic tac toe pattern, are extremely fine and look like the ones that used to be etched in the glass focusing screens of my old Nikon cameras. They are usefully visible, but unobtrusive. I think there are just the right amount of external controls, with dedicated mode dial, and buttons for WB, ISO, focusing pattern, and drive mode. In addition, there are two programmable function buttons. Focusing is incredibly fast – instantaneous – the fastest of any camera I have operated. And according to Panasonic data, it is 90% accurate, where as phase detection is only 60% accurate. So far, this is proving to be a nice little camera, which produces terrific pictures that can easily be enlarged to 16 X 20. It has raised in-camera processing to a new level.