Samsung today launched the first true compact camera/smart device hybrid - the Galaxy Camera, with 3G/4G connectivity as well as Wi-Fi (which sets it apart from Wi-Fi-only competitors like the recently-announced Nikon Coolpix S800c).
Camera manufacturers have been seeing sales of their compact cameras fall for a long time now, challenged by a new generation of camera-equipped smartphones. As the photographic specification of phones get better, there's less need for most casual photographers to carry a dedicated camera, and if you're in the business of selling compact cameras, this is a serious problem. But Samsung believes it has a solution. Take a WB850F camera, and a Galaxy SIII smartphone, and... blend them.

We've been talking to Samsung representatives for months about the concept of a camera running the Android OS, and the Korean manufacturer's early plans were the subject of more than one confidential briefing during a trip to Seoul earlier this year. Now that the wraps are off, the final specification is more or less in line with what we expected - a versatile, consumer-level camera running 'full strength' Android and equipped with both 3G/4G connectivity in addition to the now-standard (for Samsung) Wi-Fi. A 1.4GHz quad-core processor completes the picture and should provide enough 'grunt' to make everything run nice and smoothly.
The Galaxy Camera is a 16.3MP compact camera with a 4.8in LCD touchscreen running the Android operating system. It runs the latest iteration of Android (4.1 - known as 'Jelly Bean'), and will be available in two versions - a 3G + Wi-Fi model and a 4G + Wi-Fi variant (carrier and regional information TBC). This makes it the first 'connected camera' to offer more than just Wi-Fi connectivity.
Although we understand that the camera does not have cellular voice capabilities, it will be compatible with various VoiP apps, such as Skype, which will enable it to be used for making voice and video calls over 3G/4G or WiFi. Photographic features include a 21X zoom lens, spanning 23-481mm (equivalent) and a built-in 'Photo Wizard' for editing photographs in-camera.
Months ago, in Seoul, we asked Samsung representatives how they envisaged smartphone/camera convergence: specifically, whether in the long-term the Korean manufacturer intended to expand the photographic capabilities of phones, or build smartphone features into cameras. At the time we received no clear answer. The fact that Samsung is calling this a 'Galaxy' product is interesting, but there's no mistaking that this is an enhanced camera, not the other way round.
Semantics aside, the Galaxy Camera is highly significant. It is the nearest thing we've seen to a true camera/phone hybrid, and as well as solid photographic specifications it contains a serious amount of DNA from Samsung's well-established line of smartphones. The key is the addition of a powerful processor, and 3G/4G connectivity. This means that just like a smartphone, the Galaxy Camera can connect to the web anywhere that there's mobile coverage, and should have enough power to run apps and browse the web without feeling sluggish. An 'Auto Cloud Backup' feature automatically saves images to Samsung's AllShare cloud storage service the moment they're taken - another benefit of 'always on' connectivity.