Panasonic announced pricing for its new Lumix G1 camera, which is the world’s first camera to use the Micro Four Thirds system.

Available in mid-November, the suggested retail price of the new Panasonic Lumix G1 will be $799.95, which includes the Lumix G Vario 14-45mm(28-90mm eq.)/F3.5-5.6 ASPH/MEGA O.I.S kit lens. The Lumix G vario 45-200mm/F4.0-5.6/MEGA O.I.S. Micro Four Thirds telephoto lens will also be available in November with a suggested retail price of $349.95.

The Lumix G1 will be available in black, blue and red models, making it not only the world’s first Micro Four Thirds system camera, but also the first interchangeable lens camera to offer consumers a choice of colors. The Lumix G1 is a rather small camera, compared to a typical DSLR camera that is, and it functions similarly to a consumer compact camera. The design and function of the Lumix G1 will likely appeal to those such as soccer moms, as well as enthusiasts who are intimidated by the size and complexity of DSLRs.

The Lumix G1 features a resolution of 12.1-megapixels and it comes equipped with a useful 3.0-inch articulated LCD display. The Lumix G1 also sports a high-resolution electronic viewfinder with 800 x 600 pixel resolution, which has been given good reviews. The camera has an ISO range of 100 to 3200, a shutter range of 60 to 1/4000 and a max aperature of 3.5. The camera uses SDHC/SD memory, a custom LiIon battery and the body weighs just 13.6-ounces.

The Micro Four Thirds standard by Panasonic and Olympus was designed to reduce the size and weight of interchangeable lens cameras by not including a mirror box in the design. This not only allows the camera body to be made smaller, but the lenses can be made smaller too. An adapter ring can be used to allow Standard Four Third lenses to still be used. However, disadvantages of the new system include that there is no way to include a through-the-lens optical viewfinder anymore and that the camera is limited to contrast detection autofocus. The overall result is a smaller and lighter camera that functions more like a consumer compact camera than a traditional DSLR.