So far i am impressed with Inkscape functionality it has. Inkscape is not as powerful as commercial software but it offers a clean and nice interface. Inkscape documents are saved in SVG format, you can also export to various formats including PNG
It can be used to create logos, banners, icons or web 2.0 buttons :-). The only problem is that IE don’t support native SVG format, you need to download a plugin from Adobe to see SVG graphics in IE. Modern browsers like Firefox and Opera fully supports SVG file format.
What is Vector Graphics:
“Vector graphics is a resolution-independent description of the actual shapes and objects that you see in the image. Contrast that to bitmap (raster) graphics which is always bound to a specific resolution and stores an image as a grid of pixels.” (Photoshop is a raster graphics tool)
Image: Differences between bitmapped and SVG images, Credit: Wikipedia
Inkscape is open source software and is available for Windows, Mac and Linux.
Image Credit: Inkscape