I want this. It's as simple as that. I'm fine with an old school cell phone as long as I can have an iPod touch (honestly, I think an iPhone would be too much for me). But I desire one of these. It's a huge step up from my Nano, but one i would like to take.
The itouch has Wi-Fi internet access and more than enough applications and games to keep you busy. It has the right amount of sensitivity. It is slim and can easily be slipped into a pocket. External speakers are great too.