Olympus has announced what it claims to be the “World’s smallest and lightest DSLR”, the Evolt E420 Digital SLR Camera.

Olympus Evolt E-420 offers 10 Megapixel Live MOS image sensor, Live View technology, a 2.7-inch LCD screen, ISO up to 1600, and Supersonic Wave Filter for dust protection. It is designed with the amateur in mind, the features and easy-to-use approach is aimed at users looking to upgrade from their first or second point-and-shoot digital cameras.

The Evolt E-420 measures 5.1 x 3.6 x 2.1 inches and weighs 13.4 ounces making it a little smaller and lighter than the Canon’s newly released Rebel XSi which measures 5.1 x 3.8 x 2.4 inches and weighs 16.8 ounces.

The E-420’s retail price is $499.99 for the unit, $599.99 with ED 14-42mm f/3.5-5.6 Zuiko Digital Zoom Lens, and $699.99 with ED 25mm f/2.8 Zuiko Digital Lens.

The camera will be available in May 2008.

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