This post details a bit of experience I've had creating the art for Eternal Duel of Wits.
I started on this project as a level/game designer that was also filling in as the sole artist. At that time I decided to work with GIMP as a free alternative to Photoshop, and it served our needs well for a long while. Near the end of the project I got a copy of Photoshop as a gift and started working with both programs.
On the whole, I've found both programs to have a number of key advantages over the other:
(keep in mind this is pertaining to the base programs with no plugins)
GIMP:-----
Handle Bars: The selection marquee has easily drag-able 'handle bar' rectangles that make re-sizing a selection very simple. Doing the same in Photoshop must be done with the transform selection function, and even that can be a bit of a pain with the way it works.
Dimensions: You can see the dimensions of a selection you made in GIMP. This simple fact made it possible to quickly obtain the proper coordinates for in-game elements via a mock-up screen. In addition there is a handy coordinate indicator corresponding to the position of the mouse cursor. In PS the there is no size information about a selection, and the only means of measurement I found were the awkward ruler tool and the grid overlay.
Color to Alpha: Such a simple yet wonderful command allows me to immediately remove all the black, white, or color of my choice from an image, which made isolating different elements far easier. In Photoshop the best alternative is messing with channels, which even then seems to be a messy approximation of Color to Alpha.
Photoshop---------
Layer Groups: A simple yet immensely useful function allowing for organization and quick toggling of a set of layers. In GIMP I would literally have files with hundred of layers that were just kept in a rough order in my memory. I know GIMP has a plugin for this and the next version is rumored to have it built in, but PS has done a nice job with layer groups.
Layer Effects/Adjustments: Apply a hue saturation, contrast, drop shadow, or multitude of other simple changes via a layer instead of a straight application. This allows for the ability to mix and match and change your mind about any of these changes at any time. Even better, you can chose to apply the effect to a single layer, a layer group, or the whole image.
Layer Independent Time-travel: In PS I can go back to a previous state in my history list and toggle as many layers as I like without starting a new history timeline (as would be the case in GIMP, thus losing my later history changes). Even better, PS remembers the toggled layers at all points on the history list, thus letting me go between states and make accurate comparisons of my changes.
Between the two programs I'd say PS has a decent edge, but GIMP is entirely free thus giving it an irresistible value. I hope that future revisions of PS will at least include some kind of color to alpha function. If anyone knows of plugins for PS that add the any of the GIMP features I mentioned, I'd really appreciate a link.
Finally, here are a few backgrounds I created in GIMP and then touched up in PS.
It would be interesting to see what others think about the comparison between GIMP and PS.