Select PowerShot S100 cameras are encountering a lens error, Canon confirmed on its Product Advisories page. An undisclosed number of the high-end point-and-shoots have had issues with a "disconnected part inside the camera," which causes the optic to malfunction. Canon suggests that the issue may be connected with exposure to heat or humidity, but regardless of the cause, the company is offering free repairs, even for out-of-warranty cameras - assuming the issue is caused by this specific part.
Engadget , Canon confirms PowerShot S100 lens error, offers free repair for affected cams, Canon confirms PowerShot S100 lens error, offers free repair for affected cams
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