A camera phone is a cellphone which has a camera built in. The world's first camera phone was the J-SH04 made by Sharp Corporation and went on sale in Japan in November 2000. The cameras typically use CMOS image sensors. This is due largely to reduced power consumption compared to CCD type cameras, which are also used. The lower power consumption prevents the camera from quickly depleting the phone's battery. Major manufacturers include Nokia, Samsung, Motorola, Sharp Corporation, Siemens and Sony Ericsson. As of 2004, the resolution in Japan is typically in the megapixel range such as 2 megapixels, in Europe 0.3 megapixels is most common. In 2004, 60% percent of mobile phones in Japan have built-in cameras, and this is expected to rise to 100% in 2005.

As a network-connected device, megapixel camera phones are starting to play significant roles such as crime prevention, journalism and business applications as well as individual uses. On the other hand, they are prone to abuse such as voyeurism and invasion of privacy.

Some organizations and places have started to ban camera phones because of the privacy issues they raise. Such places would include The Pentagon or local fitness clubs. One country, Saudi Arabia, has banned the sale of camera phones nationwide (although pilgrims on the hajj are allowed to bring in camera phones). Another, South Korea, requires that all camera phones sold in the country make a clearly audible sound whenever a picture is taken.

Camera equipped mobile phones have been linked to industrial espionage and paparazzi activity. During much of 2004, a top notch black hat hacker named Nicolas Jacobsen had illegal access to the backbone of T-Online USA mobile network. Besides stealing classified US Secret Service documents and selling them on IRC, he amused himself and friends by finding out celebrity phone numbers (including that of Paris Hilton, Demi Moore and Ashton Kutcher). Then he siphoned off recently made photos from their handsets and circulated some of the pictures.

Some newer camera phones are also videophones, and can transmit videos and videocalls.