Yes, that is called noise.

there are programs available to reduce noise, neatimage being the most popular from my experience.

I use a Fuji S5500, 4mp, 10x zoom, Hama Polarizer, Hoya R72 Infrared er, TCON-17 1.7x Tele Lens.

DSLR is my next quest, however, I'm using my budget and time now to get tog rips with as much as possible, so when I venture into deeper water, I can hopefully go with a little bit of understanding to make it all the more fun and rewarding

The Fuji cost me £160 manufacture A-Grade refurb, lens cost £90, Filters cost £30 for infrared & £10 for Polarizer. It really depends on what you want from your camera, and what you are willing to spend. I could have gone for DSLR, but I went for this sleek compact to try my hand at it all first, and so far I'm really really enjoying every aspect of the camera, at a fraction of the price of even the cheapest DSLR.

Some sample pics of my motorsport are: (please bare in mind this was only about 2 weeks after picking the cam up)