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Both programs are packed with good features and have been significantly upgraded in their new versions. But iPhoto is the better of the two -- mainly because, unlike Picasa and most other competitors, it totally frees users from understanding the computer's file-and-folder system. With iPhoto you can organize your photos in any way you choose, regardless of where the underlying picture files are stored on the computer. This makes iPhoto much easier to use than Picasa, or any other photo organizing program I have tested.