Gizmodo's Matt Buchanan and Woody Allen Jang posted a showdown of several camera phones and one point and shoot camera - Test Notes: iPhone 4 Camera. Their results can be found in the article, but suffice it to say they really like the iPhone 4's camera. In their opinion one of the reasons they prefer it, besides the quality of the photos, is that they believe the photos are over saturated - on purpose. Their test photos can be seen below or directly on Flickr. One of their central points - the quality of the iPhone 4 means the point & shoot spends more time in the camera bag and less time snapping photos. While I too continue to be impressed by the quality of the iPhone's camera, I can't help but think that I still want a really good point & shoot with me on trips when my SLR is too big and the moment is too important. One of the reasons I've been hesitant though is that I also wanted HD video on the camera and couldn't find one that I liked, in my price range, that shot good 720p video. With the iPhone 4 having better than passable HD video, as good as the point & shoots (better than many), maybe now I can narrow down my point & shoot choices. The iPhone 4 does an okay job in low light, but a "real" camera is still needed when the lights go down. When an SLR is overkill or too big to carry, the point & shoot comes into play. That isn't to say that the iPhone 4 doesn't sound like the perfect camera to have with you all the time, as they say the best camera is the one you have with you.
In the photos below, the iPhone is compared against the EVO, the iPhone 3Gs, the Canon S90 and for video the Flip HD was thrown in for good measure.