I want one of these now! But I'll "settle" for a 1 Megapixel non zoom for now!

From Reiter's Camera Phone Report: Vodafone Japan debuts camera phone with optical zoom, "facial motion":

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Vodafone K.K. today announced it was introducing a two megapixel camera phone with an optical zoom -- the world's first commercially available optical zoom in a camera phone. The press release about the V602SH camera phone doesn't provide any specifics about the zoom, so I don't know whether it's 2x (probably) or better.

The press release says the handset uses a swivel design that allows the handset to be reverse 180 degrees.

(Update: The optical zoom is 2x and the digital zoom is up to 40x. The handset also includes an SD card slot. The LCD is 2.4 inches (320 x 240) and can display a maximum of 260,000 colors.)

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