A570 IS vs. A710 IS

My wife wants a small pocket digital camera to replace her small film camera. I have a Canon Digi Rebel XT, so want to stay with Canon. I'm considering an A570IS or an A710IS, and am requesting recommendations. So far as I can tell, the basic differences are that the 570 has a DIGIC III, whereas the 710 has a DIGIC II; and the 570 zooms to a 35mm equivalent 140mm whereas the 710 zooms to 210. So its the older DIGIC w/longer zoom vs. newer DIGIC w/shorter zoom. For the same price, which is better? Also, is the image stabilization mechanism in the lens or on the sensor (or in the softeware)? My 17-85 IS SLR lens has the stabilizer in the lens; which the product info. says is best.

IS is in the lens.

Just picke dup an A570 IS a week ago. Chose it over the A710 for the reasons you list. Also the optical viewfinder on the A570 seemed larger and brighter.

Thanks.

I too am thinking about getting one for small video captures (I don't wanna get a dedicated videocamera). Does anyone know if the video captures with 640x480 @ 30fps is as good as the G7's video at the same res/fps?

Thanks