Making up somewhat for its high price, the T700 has 4GB of internal flash memory, as well as the usual Memory Stick slot. If you use both the internal memory and a 16GB Memory Stick (the highest capacity currently available), you get a hefty 20GB of storage inside this camera, without having to swap out cards.

The T700 also sports the highest-resolution LCD in its class. In fact, at 3.5 inches diagonally, it very nearly constitutes the entire back of the camera. Aside from the power and shutter buttons, the touch screen contains all of the camera's controls. The unit is slim and compact, too, measuring a little over a half-inch in depth and weighing a slightly heavy 5.6 ounces.

On the exterior, this camera looks cool. The T700 has a brushed-metal finish that comes in several colors (red, pink, silver, and gray). Our test unit was gray, and out of the box its iridescence was mesmerizing: Tip it one way, it takes on a violet sheen; another direction, it becomes a slight pink or blue. It also has a neat sliding cover that's an attractive and functional design choice.

Sony's menu system is intuitive, and I had the camera up and running in no time at all. You can elect to view a simplified on-screen menu, which offers greater breadth for composing images, or you can see more information on your settings (including histograms, if you're technically inclined).

The camera also has some editing and playback capabilities that are, I have to admit, very fun to use. You can add effects such as star filters, fisheye, and the typical black-and-white or sepia, and you can even paint right onto your pictures using the stylus. The slide-show feature kept me entertained for a long time. It's highly customizable, with cool transition effects and music; you can add your own MP3s, too, which makes all that on-board storage even handier.