No, you didn't read that wrong. The Nokia N8 was already impressive enough with its 12MP camera and fantastic image quality, but its successor - the Nokia 808 PureView - ups the game considerably and more than triples the camera resolution.
So, where's the catch? Well, for one, the Nokia 808 PureView still utilizes Symbian, which simply isn't competitive with other modern operating systems. A Windows Phone version would be the obvious solution, but it seems like Nokia (and possibly Microsoft, due to limitations in Mango) aren't quite ready for that yet.
Besides that, a high megapixel count does have its own downsides too: photos captured at 41 megapixels will inevitably yield massive file sizes. Nokia addresses this by providing options to save images at 5, 8 or 38 megapixels. You actually won't be able to utilize the Nokia 808 PureView's full pixel count, since the sensor is square. If you choose one of the former two, you'll get both more manageable file sizes and higher pixel-level image quality, since several pixels of the original image are then combined in order to reduce noise.
However, the real fun begins with 38 megapixels. Due to the incredible amount of detail the Nokia 808 PureView is able to capture, you'll be able to crop images to "zoom in" after taking the photo, without losing too much detail. Nokia says this allows you "to choose the story you want to tell", and - for once - this actually isn't pure marketing nonsense.
As we all know, more megapixels doesn't necessarily equate to better image quality, as the individual pixels get too small. But hold on: the Nokia 808 PureView has a whopping 1/1.2in sensor, which, to give you some context, is bigger than any current compact camera. The biggest you'll find in that category is somewhere around 1/1.7in. Of course, for detailed analysis of the real image quality we'll have to wait for reviews, but considering the specs and Nokia's track record, there's not much doubt that this camera is going to be absolutely mind-blowing.
Add to that the fact that you're not only getting one, but two flash lights: one xenon flash - commonly found on standalone digital cameras - for photos, and an LED light for video. Even audio recording is getting a big boost. In a demo during this morning's presentation, you could literally hear each individual rice corn falling onto the floor.
As long as you can look past the fact that the Nokia 808 PureView runs Symbian, and is rather bulky, it can be yours for €450 pre-tax (£400+) from May.