Yeah, it's got the problem many cell phones do. If you're in a setting where it's pretty dark, firstly, you can't see what you're looking at. Kinda have to guess to begin w/. Then the LED comes on and wow, you can see for a moment before the pic snaps, but you've blinded the people you're taking a pic of, and usually reflects in the final pic.
I had a Sony Ericsson phone that had a cybershot camera. Thing took beautfiul pictures, best I've had on phone (3.2mp...there was a 5mp version, too). This was a couple years ago when no one had more than 2mp on a phone. Thing had the lil orange light before you take the pic, making it so much easier, and not blinding anyone till after the pic was taken, lol. I guess most digital camera's have em now.