A method and a handheld device for stabilizing an image captured by an optical lens of a micro camera integral with the handheld device, which may, for example, be a mobile phone. Motion sensors sense motion of the device and are used to cause movement of the micro camera to substantially compensate for the sensed movement so as to maintain a steady, focussed image to be displayed by a display on the handheld device or elsewhere, such as a remote display. The micro camera is moved by one or more motion actuators which move the camera in a horizontal plane substantially perpendicular to an axis of the lens of the camera and/or move the camera so as to pivot the lens axis.