I'd love a large capicty touch. I'm building a large media collection and I want it with me at all times. I shouldnt have to suffer because some 13 year old who knows nothing about technology and only cares for what he wants tells me "just make playlists".
As a 42-year old tech-geek who has been using Apple products since my first Mac 512 back in 1988...let me suggest that you "just make playlists."
If you're building a "large" media collection, its size will at some point surpass the largest capacity iPod available. This happened to me before the first iPod ever came out, as at the time I had a 13GB music library and the first iPod was 5GB. I had a 20GB Nomad Jukebox so I could have my whole collection with me "at all times," which I remember having this obsessive desire over.
As iPod storage capacities grew, there was a brief period when my whole collection could fit on an iPod and I had a 30GB then a 60GB. Start adding video to the mix, upping the music bitrate from 128 to 256, and once again the "large" library far outweighs what is going to be available in a portable device any time soon. Presently I've got 83GB of music, 15GB of photos, and over 700GB of video. It's just not realistic to expect to have it with me "at all times." Never bothered with the 160/120GB Classics because I just lost that "need" to have it all...
The iPhone is what really got me trained on playlists. The 1st gen was only 16GB so clearly not even all my music was going to fit. Carrying around the iPhone
and an iPod seemed...well, silly. I have a set of complex smart playlists in a folder that include Favorite Artists, Top Rated, Not Played in a Year, Recently Added, etc...and one master playlist that feeds off that folder and is limited to 3000 songs. I sync that one playlist to my iPhone and every time I sync it is updated based on the rules of the various smart playlists, most of which have "last played" date criteria such that once a song is played it falls off and is replaced. My own personal Pandora. Also have a couple video playlists that rotate 2-3 fresh episodes out of hundreds of TV shows.
I get that what works well for me may not work well for you. I am virtually always on random play so having 30,000 or 3,000 or 300 songs with me is essentially the same as I'll never get through them all before getting home and re-syncing. I find if I want to listen to a particular song or a "whole album" it's typically something I just added, and my Recently Added list will include it.
Unless this "large" media collection you plan to build is going to remain at less than 128GB or so, you may as well get used to the idea that using rotating smart playlists is the best way to keep your smaller capacity iPod filled with a fresh mix of your songs and videos.