Graphita is an awesome application to show your creativity with your photos. It is an easy to use photo editor for adding effects, text bubbles and much more.
Upload a photo from your computer and start playing with it. You can add Objects, captions, Doodles to spice up your photos. These objects, doodles and bubbles are so well designed, i am impressed with their quality. They look like true web 2.0ish. These photos are saved as high resolution pics and you can easily order t-shirts, mugs, posters etc.
Once you are done with your photo editing you can save it to your computer or send it to webshots or email your friends.
The site is built on flash platform with nice user interface. What is missing is the ability to post to social networks and photo sharing sites like Flickr. They have plans to add these features soon and once they add this it can become a great tool for photo editing.