What Price Digital Photos?

The advent of low prices is threatening to give digital cameras a bad image.

That's the concern of some analysts and manufacturers as consumers flock to buy sub- digital cameras. Plummeting prices have brought the once ,000-plus category down to a range affordable for many holiday shoppers.

But the cameras that many consumers would want to own, analysts say, still cost much more--in the range of to . Consumers buying the lowest-cost cameras may feel more like Santa left a lump of coal in their stockings than a digital delight. Retailers worry disappointment could lead to high returns--as much as 50 percent--after the holidays.

"Prices have been falling fairly rapidly, but not rapidly enough where that feature-rich camera is going to be in the golden, price point," said IDC analyst Chris Chute. "That won't happen until next year."

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