It seems that the new Sony Cyber-shot T500 pushes the limits by offering HD video recording capabilities. It won't do 1080p, but this slim and compact camera can do 720p videos, recording them in surprisingly in a non-Sony proprietary format, MPEG4 AVC/H.264. Unfortunately, the HD video part of the equation is only limited to ten minute clips (that should fill a 4GM memory stick). Other notable features on the 10.1 megapixel Sony Cyber-shot T500 include 5x optical zoom, 3.5-inch touchscreen display, and a slot to take the usual Memory Sticks. In case you're afraid of missing a snapshot opportunity, the T500 can also take stills while it is recording 720p video. No word on pricing, but the current projection has Sony launching the Cyber-shot T500 in October 2008.