NOTE: You have to sync multiple times following this purchase *and* you can't have manually manage files checked. This will delete all movies and music you have on your iPod. Teh suck.
- Update to 1.1.3 (Free version)
- Update to iTunes 7.6 (apple.com/itunes/download)
- Plug iPod touch in
- Goto the iTunes Music Store
- On the hompage you should see a box with an ad on it for 'January Software Update'
- Click it
- Click 'Purchase Software' or 'Buy'
- The applications will be downloaded to your account
- Simply select your iPod from the left pane in iTunes (under devices)
- and click 'Sync' on the summary tab in iTunes
Hope this helps. Oh - and only click the buy button once .. even if the download fails, your charged everytime you press it (common sense really - but I was charged 3 times - now being refunded by iTunes, kindly)