Obviously, the update hasn't been released yet. I hooked up my touch to iTunes and it told me there are no updates 
Prof.
Prof.

I'm getting the same thing.I've downloaded and then re-zipped the file, did the whole alt + click in iTunes, select the file and it extracts the software and does its things before its says:
The iPod "iPod Touch" could not be updated. An unknown error occurred (0xE8000013).
I've downloaded the file two times now and it does the same thing... the update won't work thought check for update in iTunes (says 1.1.1 is latest).
HELP
It may sounds stupid but it's *not* illogical regarding Apple point of view.
It's the same behavior iCal (computer version) had *forever*. You can subscribe/publish to any calendar (with .Mac or any other service), sync them but you *must* edit them from the device (calendar) you've used to created them.
at least, that's how it works for me...
iTunes won't update my iPod Touch - it claims "This version of the iPod software (1.1.1) is the current version"
I think I'm going to wait for Apple to fix the iTunes ipod patcher rather than do it manually.
Do u guys think they would release a new ipod touch soon? I wanna buy one but I can wait if they would release a better one in a month.
I did, and it was worth every bit of trouble.
Some time has passed now. It is available in iTunes yet?
If not maybe it is not ready.
If you download the firmware and it unzips, then re-zipping it (i.e. by compressing in the Finder) will not work. You need to option-click in iTunes and pick the iPod1,1_1.1.2_3B48b_Restore.ipsw.zip file. If you are running Leopard, you'll probably find it in the Trash - just drag it to your desktop.
iTunes will decompress this, run the update, verify it and then restart the Touch. There are several new features including a charging symbol in the iTunes folder list for the Touch.
Thanks. That's what my problem was.
What are you talking about? I was trying to update from the file on the front page and couldn't get it to work cause it was automatically unzipping and so I tried rezipping but it wouldn't work. I was told you had to use the original file before it is unzipped and it did that. Now it worked and I was able to update.It's not even released yet....how do you know it isn't buggy?
I don't see anywhere Apple states it is an update.
What are you talking about? I was trying to update from the file on the front page and couldn't get it to work cause it was automatically unzipping and so I tried rezipping but it wouldn't work. I was told you had to use the original file before it is unzipped and it did that. Now it worked and I was able to update.
it IS in iTunes
I updated mine by Hitting the restore button on the iPod screen in iTunes, and it did the rest by itself.