At $610 I would probably start considering a proper digital camera and housing
That's the heart of the problem, isn't it? Once you exclude the GoPro, ALL of these cameras, whether it's a Flip, JVC, Kodak, Contour, or a P&S digicam, all cost around $150-$200. And housings all cost between $200-260. So while you think you may be saving a few dollars by going with a cheaper camera, in reality any savings get absorbed pretty quickly in the housing cost.
The Contour's small size and 130 degree field of view are great differentiators and I'd really like to see some HD underwater footage from it soon. But if it's $280 with another $280 for the housing, you'd actually save money and get much more bang for your buck with an SD980 or SD940 (and among other things, get one of the best P&S cams on the market with a proper LCD and optically stabilized lens).
Well, I've definitely beat a dead horse enough times on this one. I'll sit back for a bit and wait for some more diving footage to show up from all these great choices we now have on the market!
Edit: I'll add that as much as I harsh on the little Flip that I've settled on, I'm *super* happy with the quality of the output and low-light performance so far.
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