Canon USA has finally announced U.S. pricing and availability for the long-rumored Canon EOS Rebel XS, its new entry-level dSLR which Canon officially announced in Japan on June 10. The 10-megapixel Rebel XS (available in black or silver) will ship in August and is available only in a kit version with the EF-S18-55mm f/3.5-5.6 IS zoom lens.
The list price will be $699.99, slipping in between the higher-end 12-megapixel Rebel XSi and the 10-megapixel Rebel XTi, which it essentially replaces. You'll likely be able to get the XTi for slightly less than the XS, though both share many specs, since the XS improves on the XTi with its Live View mode and newer Digic III processor among other improvements (though it does drop down to a 7-point autofocus system to keep costs down).
DP Review has a detailed preview of the Rebel XS (aka EOS 1000D in Europe).
CNET's Crave has posted a hands-on preview video.