Before I bought my XZ-1, I researched & tested S100, LX-5, Samsung EX-1, Nikon P310 (BSI CMOS but smaller sensor), G12 and always found myself coming back to XZ-1. The IQ (at lower ISO), low-light performance & fast response due to its f1.8 lens is unparalleled in its class. Even the EX with its F1.8 loses in performance vs XZ-1. Sure I could have purchased a good M4/3 for a little more but it still can't beat XZ-1 convincingly with its kit lenses. You would have to put a very expensive pancake to barely edge out the XZ-1. Another reason I did not buy a M4/3 is I don't want to buy into another $ystem of lenses when I already have a good DSLR setup that'll beat M4/3 IQ & lowlight performance when I need it. What I'm saying is that XZ-1 has a superb lens on it and this is the primary reason that I bought it and I haven't regret it since. Of course it has its weakness too such as very mediocre video performance. But if video is important for you, then you should look elsewhere. Also, XZ-1 is at the size limit where I feel it is still considered a compact. Anything bigger, including M4/3rds, are too big to comfortably carry everywhere I go.