For those more comfortable working on a couch than a computer, the PrimeFoto is a DVD player-like device that attaches to a TV and burns your pictures onto CD. Just pop in the memory card from your camera, choose the photos you want, add narration and music, and like nerd magic, out comes a CD that you can mail to the grandparents.
This won't be as powerful or complete as making the CD on a desktop, but for those who aren't as computer savvy, this would be a viable alternative. Available now for $249.
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PrimeFoto [first Street via uber gizmo]