"The market for a camera like the GF1 falls into three broad groups; those wanting a better quality alternative to a high end compact (such as the Canon G10), those wanting a more portable alternative to an entry-level SLR and those bitten so hard by the camera bug that they want something to fill the gap between their compact and SLR systems. Of the three it's the latter who will be most satisfied by the GF1, since they understand completely the compromises faced by anyone in the other two groups; the GF1 is larger and more expensive than any compact, and it can't match the speed or feature set of a similarly-priced SLR."
In typical fashion, dpreview.com does an exhaustive review - but the end result of a "Highly Recommended" and a fair amount of praise about how fun this camera is to use tells you that Panasonic has hit a home run with this camera...or at least a third-base hit, because there are some minor quirks related to JPEG processing. I for one really like the idea of a camera this small that packs the photographic power of a DSLR. I might have to check one of these out...