Sanyo waterproof VPC-CA65 can be underwater at depths of up to 1.5 meters for up to an hour, most ideal for capturing video of your kids swimming or your snorkeling trip. The actual video recorded is high quality H.264. It has a built-in image stabilizer. You can also quickly switch over to stills mode to capture some 6-megapixel snapshots. It supports SD/SDHC cards for storage.
Sanyo VPC-CA65 features a beautiful, waterproof design, high quality video, and decent stills, all for $500.
