I was anticipating replacing my 1G touch with a 4, I think I will wait now to see if they put a better camera on it. Since I can't go the IP4 route, this was my chance to get a great camera along with all the other goodies. So I will wait, another year I would guess.
And for those that want really thin/small, you may not remember the Nokia cell phone that was about 2" long by 1" wide, give or take. It was a dismal failure BECAUSE it was so small. If apple makes the 5G the approx size of an IP4, that's fine by me.