Panasonic introduces the DMC-TZ1, the world’s smallest 10x optical zoom camera. A powerful 10x optical zoom Leica DC lens is incorporated into a compact, easy-to-carry body, made possible by the integration of a retractable lens system with folded optics technology. Like all cameras in Panasonic’s line of digital still cameras, the TZ1 features MEGA Optical Image Stabilization to reduce blurry photos caused by an unsteady hand. The TZ1 is a high-performance camera, and features the newly developed Venus Engine III LSI, which reduces chromatic aberrations that often occur in high-sensitivity modes of shooting. The result is a winning combination of MEGA Optical Image Stabilization and high sensitivity recording that helps defeat the causes of blurry, dissatisfying images: an unsteady photographer’s hand and a moving subject. The lens part of the TZ1 features the world’s first integration of a retractable lens system with folded optics technology, realized by the inclusion of a prism.