It's hard to believe that we're already upon the third generation of Olympus's Micro Four Thirds PEN line, but the E-PL1 is official and it comes toting some serious upgrades. The most obvious improvement comes in the form of an integrated pop-up flash, something users have been asking for since generation one. Inside is a 12.3-megapixel Live MOS image sensor, as well as in-body image stabilization and a Sonic Wave Filter to reduce dust. Plus, there's a dedicated video record button on the back for activating its HD video capture mode. In addition to the performance enhancements, they also somehow found a way to whack $200 off from the price of the E-P1, putting the sticker at ust $599 with an M. ZUIKO DIGITAL ED 14-42mm f3.5/5.6 Zoom Lens. That's getting dangerously close to the territory currently ruled by high-end compacts.