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Just to update you on this program: its brilliant. I contacted the developer yesterday and they were really helpful explaining that the website will be up today containing examples but they sent me two images to look at. I then asked a couple more questions and they again were prompt and helpful so I purchased and it works and works great! It does all the work for you - such as auto adjusting colour and alignment. When its light outside I'll take a shot and upload it!
 
$10 is a big price tag for this... when you can find free alternatives for your computer.

I am curious as to what else the interface offers... And how slow/fast the processing time actually is.
 
I guess where the interface helps is that it shows you part of the previous image to help you line up you're next shot - something you wouldn't get with the normal camera. Its not the fastest thing on earth partly due to the iPhones processing power and partly due to the stages the app walks you through but on the other hand its by no means slow and the adjustments the app makes appear to work a treat. I guess its also cool if you want to take a panoramic and email/upload instantly from some remote location in the world!

It works much better than the free panolob in my tests as thats a very much manually app and I had poor results with it. When I look at the software I bought for my PC at £25, this is a bargain for what its doing.

Edit: Image of the image take screen, where I'm trying to show aligining the two images. It appears from my tests that you don't have to be too accurate with this either! http://i68.photobucket.com/albums/i37/rendez2k/2008-2-1.jpg
 
There might've been a use for this app at this price if the iPhone had a decent camera but it doesn't, which means it's too expensive and there isn't. Well, for me anyway. I did have something similar on my N95 and got some good results so can see reasons but the iPhone's camera just doesn't justify it.
 
Believe it or not, I don't think Panolabs aim for their application is for seamless panoramas. Although you can attempt it. I can't find the site that actually means to do it this way. It's like taking several picture and plops all the pictures on top to form something creative and interesting.
 
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