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This should give you a visual-
http://www.tetongravity.com/forums/showthread.php/234386-GoPro-HD-Hero2-GoPro-HD-Hero-compare-and-contrast?highlight=goprothere is a ton of info in here right now that is completely false.
hd 2: 11MP resolution, 960p at 48fps, 480p at 120fps, new lense, 170* at 1080, 10 photo burst mode, timelapse pi every 1/2 second, and the new wifi bacpac
that everything the hd 2 has the the original hd does not. NO it does not shoot 1080 at 60fps, no it does not shoot 720fps at 120fps. unless my sarcasm meter is broken you all are retarded. as for how much better, i think the price is valid. ive had the original hd, and now have 2 hd2's and i can definitly notice the difference. plus the new features are what really makes it better, not so much the lens