This camera is the first and only digital camera that I've owned so far, and I am still quite happy with it. Sure some of the newer cameras may offer a more compact size, a larger display, or higher resolution, but for my purposes this camera still does the job that I want it to do, and then some.
Along with being a very good point-and-shoot camera, the Canon S45 also offers a wide variety of manual settings which allow you to precisely control exactly how your pictures will be captured.
Storage is handled using a Compact Flash card, and the battery life has been more than adequate for a day's worth of my vacation photos. The built-in flash works well at close distances, and the 3x optical zoom that it offers seems to be about average for most digital cameras.
The display on the back of the camera is smaller than most of the newer cameras, but it still works well for reviewing your pictures.
The photos that this camera captures are by far its strongest point. I haven't come across another camera that can capture the color of the sky, or the tone of someone's skin better than this one can.
As of now, I am still very happy with this camera, but I do have to say that some of the newer models with their higher zoom capabilities, smaller sizes, and better video capture options, have caught my eye lately. Even if I do decide to upgrade, though, this camera will always have a place as a very competent backup.