Okay so check this out. Using AIM.app in Firmware version 2.1, the correction bubbles now appear ABOVE THE WORDS!!! I'm not making this up. I just installed 2.1 on my iPod touch! THIS IS SO AWESOME!!!! I'll post a screenshot in a second! In case anyone didn't know, when the bubbles appeared below the words, it was really hard to type any letters that were on the top row of keys if they were directly underneath the bubble because then you'd inadvertently close the correction and spell stuff wrong. http://forums.macrumors.com/showthread.php?t=549960 See here.