Start by defining marketing what it is you want your camera to do. Are you going to snap family stuff and the like? Then a Point and shoot is probably a good bet. You think you want to have the advantage of various lenses for different tasks then you are probably looking for a DSLR. Once you define your needs and desires as far as the type of photos you are going to take the decision process becomes less complex. I know of at least one pro who shots a Canon PAS and claims to get better results than with his DSLR's.. Right now I believe there is a special on Nikon D-40's at Adorama camera out of NYC (see the where to buy thread for info on these guys.. they're well respected) for body, starter lens and some goodies for sub 550$US. This is a solid entry DSLR, and would introduce you to the options that DSLR's offer. Other wise the Canon PAS mentioned is very good.