The basic design of the iPod Touch is virtually unchanged. There are some minor modifications to the hardware, but it’s certainly not the sort of redesign that the iPod Nano has received. The key feature, of course, is the screen – unchanged at 3.5 inches diagonally - with the accelerometer motion-sensor that allows you to rotate the iPod and use the screen in either widescreen or upright ‘portrait’ modes.
To be fair, the screen doesn’t really need to be changed – the 480 x 320 resolution provides very good image quality for video playback, and we’ve felt quite comfortable watching full-length films on the iPod Touch on some long train rides. Some reviews have commented that the screen has a pronounced yellow cast to it, but we honestly can’t say we noticed this, either on video playback, browsing through photos, or simply looking at the text in the various menu screens.

Looks and feels skinnier than it is
The 802.11g Wi-Fi capabilities are unchanged too, though at some point Apple may have to step up to 802.11n if it wants you to start streaming video downloads over the internet. The cheap little Apple earphones are also the same, with their somewhat anaemic audio output, although Apple will be releasing an optional set of ‘upgrade’ headphones soon, complete with a microphone for the voice-recording feature that is built into all the new iPods. The new earphones will include separate woofers and tweeters for improved sound quality, but they’ll cost £55 so you might want to look elsewhere for a cheaper alternative, unless you specifically want the microphone and voice recording option.
The size of the screen and the need to maintain compatibility with existing iPod speaker systems and accessories means that the dimensions of the iPod Touch are pretty much fixed. Even so, Apple has been able to shave about half a millimetre off the thickness of the device this time around. It now measures just 8.5mm at the thickest point, but thanks to the way the back of the case curves, it feels much, much thinner than its predecessor, an illusion enhanced by the shiny chrome-like backplate.
Put it alongside a first-gen iPhone, for instance, and the new Touch seems positive wasp-waisted by comparison.
COMMENTS
@Lossy
iPods do support a lossless codec, see ALE:
http://en.wikipedia.org/wiki/Apple_Lossless
However native FLAC support would be welcome, as would codecs like DIVX.
My point about AGPS on the Touch stands. Waiting for a minute for a device to calculate your GPS position is fine at the start of a long car journey but not good for a mobile device. I can't imagine too many Londoners standing around on the street waiting to get a lock on their position. And without a means of downloading the maps a GPS would be useless.
Mine sounds fine
@LOL AC
Sounds to me like you got a dodgy iPod touch because mine sounds absolutely great when I use it with my Shure E3C headphones (mainly electro, dance, pop, techno and ambient music).
Lossy Audio
Right well the sound quality on any audio system is worth looking at as many different players handle things differently.
I have both an iRiver and an iPod... the iriver wins everytime for sound, so much so that if i listen to them back to back it annoys me!
Not to mention that a lot of players now support flac which is lossless... something apple need to start looking into! At the end of the day the sound is processed so it can sound good or bad. and it should have some form of rating in a review. yes its subjective, thatw why you ask a few people around the office!
GPS and aGPS
The iPhone 3G has BOTH GPS types. It acquires aGPS data from cell towers first, since it's quick to do, then in a few seconds updates that with more accurate satellite GPS. If it used only GPS, apps would take several seconds to pull the data, making the device feel sluggish. Also, keeping the GPS system cycling every 30 seconds has dramatic battery saving potential, and once aGPS is fine tuned with GPS data, aGPS is nearly as accurate. It's really the ideal solution for a mobile platform. aGPS alone is not as accurate, but having both systems proviudes the best speed, battery life, and overall accuracy.
aGPS is "asisted" GPS. by itself aGPS is not a complete system. Sattelite data is still collected and still used. Stop spreading FUD about aGPS if you don;t understand the technology.
Funny you should ask
I've used http://www.fring.com/blog/?p=226
fring and skype on my iPhone in wifi areas.
I understand it also works for Touch. And it's being upgraded for the new Touch:
http://www.fring.com/
if it's not already upgraded.
