As an Apple fanboy, my first reaction to the iPod Touch was that it was a joke. I really couldn't believe how fucking stupid that shit is. It costs $50 more than the arguably better iPod "classic," and has 1/10th the capacity. I think that's just kind of ridiculous. I don't need to go on the internet. The youtube feature is nice, although shoddy at times, and the internet function is a hassle. The 3.5" screen is the only thing that I would've liked to see in the new ipod. I'm VERY glad the HD space is now 80GB and 160GB, so now I don't have to limit myself to what things I can and can't have. I have like 40GB of music (and thanks to a few new sites that's going to increase a hell of a lot more) and would like to start putting some youtube videos on the jPod. I'm probably just going to ask for one this christmas though. I have next to no monies.
It's also a little depressing that Apple has failed to actually release a new ipod in the 5/4G realm, they have just been continually updating them, each time adding in an extra few features or dropping the price. I wanted a legitimate 6G iPod, not just the third child in the 5G line. The screen is just pathetic to watch videos on. Although it's less of a machine than the iPod is, the Zune had the screen set up right. The iPhone has the same set up, but it has very limited HD space.