Panasonic Lumix GH2 camera
Panasonic's $900 Lumix GH2 camera takes high-quality images like those you'd get from a full-size digital SLR camera without all the bulk. The camera's use of the newish Micro Four Thirds standard means that Dad will be able to pick and choose from a wide variety of interchangeable lenses and accessories while enjoying portability closer to that of a point-and-shoot.
The 16-megapixel GH2 goes beyond photos too, with high-definition-video capture at up to 60 frames per second. That'll allow Dad to launch his soon to be critically acclaimed photography portfolio and dip his toes into avant-garde filmmaking as well.