If you just want to enjoy a bit of music and a few apps with web browsing and email get the 8GB for free with the BTS deal. If you want all the bells and whistles of better graphics, faster processor more ram etc as well as full compatibility with iOS 4 defiantly go for the 32GB. The current model 8GB shares the same hardware as the old 2008 touch 2g and will not get all features of iOS 4.0 and after the September iPod update will basically become obsolete.