Well, it's been announced but not a word about in-body IS - not that I can see anyway. :-(
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The ex-GM1 battery is going to take a hiding anyway, I guess IBIS would be a few punches too far. I guess I will just have to manage - the kit lens has IS built in, maybe the battery can stand it? The GM1 is a battery and a half per day in my book, the GM5 might be similar. Always best to carry the spare.
If I read it right IBIS is only really useful for slow kit lenses anyway. Lenses with apertures wider than f2.0 might not desperately need it and f2.8 should be borderline. But IS on f1.2 is a luxury best enjoyed when that lens is stopped down to truly need it.
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Tom Caldwell
I fear we will hear you once too often reminding us (with good right) that you told us so. But even though, as you have pointed out, there is no free lunch, and there will always be trade-offs between size and features, the new arrangement will probably prove to be better overall than the old one (although, as I am more and more convinced in second and third thought, not sufficiently so to make us regret having been early adopters).
I, for one, in principle I would not cry for the lack of a built-in flash (which I never use, anyway). But IBIS would expand by a couple of stops our ability to engage in low light photography with some of the best available primes, like the 20/1.7 and the 45/1.8 (I have already reached the limit on a couple of occasions, with1/30 shutter speed at 1.7 aperture and 25000 ISO; and 25000 ISO is a setting that should definitely be avoided). And I certainly wish for a 2nd curtain (although, if we had a 2nd curtain, fill-in flash would become far more usable; then we would start asking again for a built-in flash...)
You were also right, unfortunately, that the evf would be tiny and the price for getting it would still be a less convenient lcd. But, again, in practice the new arrangement might work better overall
You were fortunately less right that there is no space for more manual controls; there is, and there is still room for improvement too.
Well, anyway hopefully the rumors about IBIS etc did not come out of nowhere. Hopefully, Panasonic has already, hidden somewhere, a design and maybe even a prototype... which we might see in GM8, or whatever it will be called (although this might require further advances in miniaturization). Hope dies last, right?
At least Panasonic got on thing right - the main thing: that size can change only marginally.