You need to know your photography before you can criticize any camera. Enthusiast’s cameras need to be taken down to the manual mode and played to get SLR-quality photos. Such cameras are not something which you’d use as a point-and-shoot in auto mode.
That said, the H2 is a milestone in Sony’s prosumer range of cameras, but it’s potential gets unleashed only when it’s used in a manual mode. Of course it has been built keeping a wide variety of users in mind. Give it to a newbie and he will handle it just fine with the auto mode, but that will never match the photo quality what an experienced person can bring out with Tv / Av / MX modes.
Under manual usage, it gives very low noise levels for low light photography and long exposures(5 seconds and above) turn out with exceptional detail and clarity. The camera itself is quite tough and under my use, it was subjected to a lot of extremes including falls, rainfall, foggy weather and lots more. It took everything without a flinch.
The battery consumption is very frugal for a camera of such standards. Top it up with a duo of AA-size 2500 MAh cells, and it’s ready for a day of heavy shooting(without flash usage). Just to compare, it’s direct competitor, the Canon Powershot S3IS takes 4xAA batteries and lasts approximately the same.