diverdeb001:
...I may take it back and see if I can exchange it for something else. ...
Deb,
Sorry to hear that you had bought it already. I assumed that you were doing some pre-purchase research.
When I saw the grainy photos that this camera took, I asked my father to find out from his dive shop what the image quality of the other Aquapix cameras they had sold was like. I thought that it was a problem with his camera only. Then I started reading reports like yours on the 'Net and realised that it is a problem with this camera.
I must agree with Dee that you should try to cut your losses and return the camera. Quite honestly, I cannot see why this camera cannot be returned to the shop where you bought it, as it is not performing as claimed, ie. comparable to other 3MP cameras. If I were in your position, I would return it and not take any nonsense from the LDS about it. It is not the fault of the LDS, but Sea & Sea and the product should be returned to them as faulty. At most, I foresee the possibility of the LDS charging a handling fee, which could be fair. Sea & Sea have created a dud with what is essentially a design flaw and the onus is on them to correct the problem, or continue stockpiling returned cameras. You bought the camera in good faith based upon the claimed performance and specifications, and it has not performed as claimed. The fault is not yours, but rather Sea & Sea's - why should you then keep this camera?
Please don't take the camera underwater to test it if you haven't already - it won't get better. Testing it underwater will also probably make it more difficult for you to return it. Pack it neatly back into its original packaging with all the o-rings, grease, manuals and the rest and pay your LDS a visit.
I wish you all the best for the successful return of this camera and the purchase of a new one. Good luck!
Cheers,
Andrew