The Fuji has a feature that you will either love or hate, an EVF (electronic view finder). So the view finder is a small LCD, like on a video camera.

This has the advantages that it gives you a 100% view of what the sensor is seeing (normally an optical view finder only shows you 80-90% of what the sensor sees). It also allows you to see exactly the colours and lighting that the sensor is going to record.

It has some downsides as well. The three most important are battery consumption, image quality and low light level performance. Obviously if there is no optical view finder you are always using either the EVF or the rear LCD, which lowers battery life. Image quality is and issue because the EVF only has 118,000 pixels or so (much like a video camera view finder). In low light EVFs can be a pain because the lower the light level the more time it takes to capture enough light for a decent picture so the refresh rate of the EVF falls.

I have never used an EVF and I don't think I would get on with it, but some people love them.

Looking at this review (the S304 is called the 3800 in the US):

http://www.steves-digicams.com/2002_reviews/fuji_3800.html

It looks like the Fuji might actually be a little behind the times in its feature set and UI.