Just guessing here..but...I also have a Sony ( different model).

It has a digital zoom mode (in addition to its optical zoom mode) that
AUTOMATICALLY kicks in when the optical zoom isn't sufficient for the job.
Is it possible that your digital mode is kicking in? It is generally
thought that a digital zoom mode is going to be blurry...when compared to a
similar sized optical mode zoom.

There is a setting to take off the "smart zoom mode".
RichG TX/Il

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http://groups.msn.com/DigitalPhotographyClub
http://groups.msn.com/CarolinaSkiffOwners
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