Zoom Field Recorder
The follow-up to the super-successful H4, the Zoom H2 Handy Recorder fits in the palm of your hand and is perfect for anyone who wants to record pristine audio in an almost infinite variety of applications. The H2 comes with an internal 3 mic capsule and signal processing, meaning that a variety of polar patterns from cardioid to super cardioid to 360-degree polar patterns are possible. And you can record 360-degree as 4 channel data, which can then be authored into 5.1 surround sound.
The H2 records on SD media cards up to 2GB. You can set the file format to the widest variety of bit rates available for increased recording time. Record at 96kHz (DVD quality) 48kHz (DAT quality), 44.1kHz (CD quality) and MP3 up to 320kbps. Variable Bit Rate (VBR) data format is also an option for the best optimization of memory. With the onboard USB interface, you can manage your files by moving them to your PC or Mac for storage and editing with the bundled Cubase LE Digital Audio Workstation software. Or use the H2 as an audio interface to record audio directly to your computer. The H2 can also function as USB mic. The H2 also has a time stamping feature so that you can organize by date and time the recording is made. The Zoom H2 Handy Recorder is truly an evolutionary step in handheld recording.
Check this review of the Zoom H2 at About.com.