If you want to read the opinion of a professional photographer, read on...
IMPORTANT UPDATE: The TX10 is NOT Compatible with Sony Marine Pack Enclosures or any other enclosures.

Pros:
1) The TX10 shines in low-light still photography, it eliminates most of the noise even at ISO 800.
2) The small form factor means you can easily hide the camera from "predators."
3) It is water "resistant' but not truly waterproof aka. you shouldn't go scuba diving with it.
4) It's High Definition 1080p video is pretty good compared to other digital cameras in this price range.
5) Zooming while videotaping is possible. Most consumer digital cameras can't zoom while in video mode.
6) Surprisingly good wide-angle (you don't need a wide-angle adapter)
7) The panorama mode is cute and effective but not very high quality (noise is introduced due to panorama cropping).
8) Excellent flash coverage.
9) Choice of MPEG or AVCHD recording. MPEG is the... Read more

Sony's warranty is no good. I bought this camera for my vacation and used it in a pool. The camera leaked and stopped working. When I sent it to Sony they told me that they found corosion and the warranty was void. I told them that it was warranted to be waterproof and if the seals failed it should be covered. They just kept repeating their words and refused to honor their warranty. I will not purch from Sony again. Very disapointed in Sony.

UPDATED AS OF 5/31/2011: Kept the camera after I thought about returning it and I'm glad I kept it. Updated rating from 3 stars to 4 stars

I'm an underwater and rugged camera junkie so when I heard about this new camera I had very high expectations. I have owned 2 other Panasonic TS1 waterproof cameras and loved those (other than my last one leaked and destroyed the camera. Thank goodness for Squaretrade)I'm not a Sony 'fanboy' and never have been but have had a few good experiences in the past with quality of build and ease of use with their products so I thought i would part ways with Panasonic and try out the TX10. On paper... this camera seemed like it was the PERFECT underwater/outdoor camera. I loved the fact that you could slip it in your pocket and take it anywhere due to its size and it looks right at home even in a fancy restaurant. I spent a week snorkeling, hiking, and adventuring in Kauai so that served as my first chance to do an in depth review for what this... Read more