This is also an interesting time in the high-end compact segment, as the three camera we have compared in this review (the Canon G10, Panasonic LX3 and Nikon P6000) all have different sensors of different resolutions but at about the same size. The G10 has shown what is possible with resolution in a controlled high contrast image at base ISO, but LX3 showed what is possible with current sensor technology in a compact. In the real world, try as you might, it is just not possible to shoot at ISO 80 all the time, and in these conditions the LX3 performed better than the G10 with fewer pixels. The LX3 also has a faster lens which enables it to use lower ISO settings most of the time. The question arises: how good could the G10 have been if Canon had put a LX3 like sensor in it?
That is not to say the news is all bad in the image quality department. As stated earlier, at base ISO and in high contrast conditions, the G10 can produce detail and resolution that is astounding (better than some DSLRs). If your main use is in good lighting conditions outdoors, and you are prepared to take care with correct exposure, this camera is almost as good as it gets in compacts. Also if you were to only make small prints, view the images on computer monitors, or the images are mainly for web use, the the G10 would be a great choice. If cameras were to exist in a vacuum, the G10 would certainly get our highest rating, and if no other cameras of this sensor size could do better then we could have said 'maybe it is just not possible with current sensor technologically'. The Panasonic LX3 shows that this is not the case.
Considering the wider market, with pressures coming from the cheaper LX3, and with low end digital SLRs getting cheaper all the time, it is hard to see who the G10 audience will be. Mainly those who own higher end DSLRs (especially Canon ones) looking for a compact second camera? Perhaps, but these users would certainly be discriminating about image quality, and the G10 might not live up to their expectations. So the G10 is in the 'flawed gem' category that, while great fun to take pictures with, is surpassed in image quality by other cameras in the same price range, and the same market segment. At its price the G10 just cannot overcome the image quality shortfalls to achieve our highest rating.
The G10 leaves that lingering question. Just how good could this camera have been, had Canon taken a more conservative approach to resolution and put as much effort into optimising image quality as it did into making such an impressive camera body?
http://www.dpreview.com/reviews/canong10/page24.asp