Exactly the feature I have on my digicam. It's pretty cool, but to give the real panoramic effect, you still need an intelligent photostich software in the backend that checks where the pixels overlay and cuts the pics at the right points.
That's the hard part, but without it, I see no usecase, because you could just make 2 pictures yourself and even with paint you can overlay the edges, to get the same poor result, which just doesn't look convincing.