Okay, you're right, it is better than the DC290. I've taken portraits with both cameras this weekend and the resolution from the W1 is better. Still the DC290 focuses clearer than the W1.
I also compared the W1's pictures to that taken with a friend's Sony DSC-S85, the pictures from the S85 were much better than the W1. With the S85, pictures of cats for instance - the hairs and eyes were nice and clear and 'bright'. The W1 was fuzzy - almost slightly out of focus for EVERYTHING! Also portrait shots of people's faces were much clearer on the S85.
It's such a shame. I like the W1 a lot for its size, responsiveness, LCD display, but not the pictures! Even with playing with the sharpness setting, contrast, AF area didn't help.
Why pay $100 more for this 5.1MP camera that takes lousier pictures than someone else's 4MP camera?