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I tried PSE8 and from a PSE7 user, there isn't much that has changed to warrant the hefty price of a full version.
I did like the new face recognition feature. However, I would have liked it better if you could select from existing people tags when choosing a tag to associate with a tag. Instead, you have to type the tag the very first time you are associate a tag with a face. After the 1st time, you can choose from a dropdown. Not a huge problem, but a bit of an inconvenience that could have been easily avoided. The face recognition software is only good with photos. It can't automatically tag videos (which would be a really cool feature!)
I also like that now you don't need to own both Premiere Elements AND Photoshop Elements to organize AVCHD files. With Elements 7, you could only import AVCHD files into the shared organizer with Premiere Elements. With Elements 8, you can import AVCHD files directly into the organizer with Photoshop Elements 8. This is great because I had originally bought PE7 just so I could have a way to organize my AVCHD library. Now I don't need Premiere Elements and just use PSE8. (I really wish they sold the organizer separate from PSE and PE because more professional software for editing my media.)
Aside from these advances there isn't much that has changed that I really care about. If there was a $30 upgrade price I would get the new software, but for $80+, it's not worth it. I'll wait to upgrade until next year when 9 comes out or when an upgrade price is introduced or when I win the software thru a giveaway contest from some cool blog (hint, hint ;-)
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