Pogue takes a a few waterproof cams down to the local waterpark for testing and finds Sanyo's 6MP Xacti E1 to be of better image and video quality than the rest. I've always found the Xacti cam's nice, but the low light performance to be lacking. That doesn't matter when you're talking about beach and pool time, however. I believe its image quality is better than the other cams in this roundup, but it's only rated to 5 feet of depth.
He also tests two traditionally shaped 7MP cameras, the Optio W30 ($237) and Olympus's Stylus 770 SW ($270). The Olympus is a fully rugged setup, shock and extreme temperature resistant, good down to 33 feet of water; the Pentax is good for 10 feet at two hours. I've used the previous generation Pentax and loved it for hawaii conditions. But I did lose it on a reef and only then did I learn what Pogue points out: None of these damn things float. [NYTimes]