I bought this small gem of a camera on Amazon.ca a few months ago to film my newborn son. It is so simple my wife uses it all the time. (aka it is bullet proof since she isn't so keen on the technical side of things).
I brought it to two small shoots to snap some behind the scenes but realized it was a great tool little tool to have on set when you want to try out a move or show someone instead of tallking it out. I am confident that some young filmmakers could use this camera and Stu Maschwitz book to make a kick-ass cleaver movie once you figure out the workflow.
At around 250$ it is a win-win situation: 720p, built in usb charger/connection/2hr rechargable battery & 8 gigs(2hrs) storage, format AVC.
I played around and quickly with the Apple ProRes coded was able to bring it into FCP Studio 2. I will have to redo the test once I get an Intel mac and see how it deals with the AVC codec naitively. Apple ProRes added a little softness but I like the amount that it took away from that nasty Hi-def video look. Bringing it into Apple's Color app would defenitly render some nice results.
Some Reviews from around the net:
http://www.engadget.com/2009/04/30/flip-video-ultra-hd-video-review/ (ENGAGET REVIEW)