That's the thing though - it isn't. The Touch 5g still works perfectly, and is still sold as new. They may be "2011" internals, but they're also 2014 internals. It's not top spec, and it's not winning any awards for benchmarks. It is, however, still a totally functional and usable device. There are very, very few things it can't handle, even today.
You can argue it and bash the 5G touch all you want. Whether you like it or not it's still a current device that a lot of people enjoy, and that suits many's needs.