I was recently looking for a way to display a slide show of images for a section of our Intranet and came across Slide.Show. It is an open source project that uses Silverlight and allows the end-user to highly customize the presentation (although this is not documented real well yet). You can attach the slide show to an XML file, Flickr, or a custom provider (such as a SharePoint list). The setup is pretty easy. This series of posts by Robert MacLean describes how he attached the Slide.Show to a SharePoint Photo Library.
This makes it even easier for users to add and remove photos from the slide show. They can upload them to the photo library and the slide show will start showing them. This is the ultimate goal that I would like to reach with this so that I don't have to manage the photos for the end users. I simply set up permissions to the photo library and let them manage the photos how they want.
One drawback to the Slide.Show project is it using Silverlight. Although many people installed it to watch the Olympics, there are still good number of people that do not have it installed. For these users, they will see the blue Download Silverlight button and if they are not as tech savy, might not want to download Silverlight if they don't know what it is. Until Microsoft pushes Silverlight out as a required download, this will be an issue.
You can also try SPSlideShow to display image slide show based on picture library. The web part is based on Java Script so there's no need for Silverlight.
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