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Definitely the camera...
I have the Mogul and was incredibly pissed after the first several shots didn't pan out. Its only benefit is that it takes amazing low light pictures (no flash). Indoor shots work best for me, outdoor shots should avoid any broad depth or high contrast (shitty histogram) to limit blurriness between subject and background.
Its a 2mp sensor b/c it has the pixel range...but man is it ever the cheapest CMOS sensor on the planet.
Check the pdf for a closeup of the sensor itself
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