I agree with you on the pixel count. However 2.1 megapixels should be good enough for photos up to 8X10. It also helps to get some good photo processing software. I use Adobe Photo Suite. My photos that I tend to print ( usually in the 4X6 or 3X5 sizes) turn out great. Another aspect is using the right paper and having a good photo quality printer. A standard color printer - no matter how expensive - will not print photos well because it does not use enough layers of color to get the true photo quality.

I know that sometimes film just seems easier, and it is, but you can't beat the near instant results of today's digital cameras. Besides, when have you had 128 photos on a roll of film?