I bought one for myself, because I thought it would be easier to carry around for "everyday" stuff (I wouldn't keep my camcorder in my purse, but this I can - it is TINY!) and I can take it into places where I would fear losing/damaging/etc a "regular" camcorder.
In other words, this wouldn't be my camcorder of choice to film the kids with Mickey, but I'd take it on Splash Mountain
It was *supposed* to be a Christmas present

, but I went on a weekend trip last month, and couldn't resist taking it along, to try it out. (my rationale was that if it didn't live up to my expectations, I could exchange it BEFORE Christmas -

Yes, I buy my own gifts. DH is happy, I'm happy, life is good

and I will now put it back in its box and wrap it up - lol )
Anyway, I went to Chicago for the weekend with some girlfriends, and it was perfect. Everyone was pleased with the quality (both video and audio) of the vids, and it was super easy to use. You seriously just...turn it on. It would be a great camcorder for kids, if you're inclined to buy your kids things like this. It's so small, people around me didn't realize I was videoing - it looks like a regular point and shoot digital camera. I was very pleased. I wasn't expecting the quality I get from my expensive camcorder (and I did NOT get that) but I got way better than I expected for what it cost. I'd say it's definitely worth what I paid for it.
I will try to figure out how to link to one of the vids so you can see for yourself.

(I know how to post pictures here, but I've never tried to link a vid...)