What is digital noise?
Digital noise comes from two main sources. The first being the inherent noise in the camera's sensor. This is exacerbated by heat buildup on the chip from multiple exposures or long exposures, or by having many photosites clustered onto a small chip. This is why dSLRs have less noise than point and shoots. The second source of noise you allude to is from the ISO rating. The ISO setting simply amplifies the signal through the chip, much like turning up the volume on your stereo. With the volume at 3, you can't hear the noise in your stereo, at 10 you hear the hiss through the speakers. This is amplification noise.
The best advice for avoiding camera noise. Buy a camera with a larger CCD or CMOS chip (think dSLR), and work to dial in your exposures. Underexposed images always end up being noisier than correctly exposed images.
Best of luck,
Jay Kinghorn
RGB Imaging
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