Easy, buddy. I'm just repeating what I've heard.
For one thing, I think it is fair to say that less features generally means a more stable product (though the one certainly does not guarantee the other). You complain about Safari...what if there were a dozen additional apps on the device, each with their own teething troubles? The whining would shake the foundations of Cupertino.
If that was the case people would be complaining about the iPhone. It's obviously not a problem on the iPhone, and wouldn't be on the iPod touch (same hardware, after all). There's a difference between not designing certain features into a product and intentionally crippling features in a product to push another product.
At any rate, the iPod Touch is not a Palm TX. It's a media player with wifi in a very small form factor.
According to Steve, it's a phone-less iPhone. Not a phone-less, app-less, crippled iPhone.
I don't think it's wrong to point out the device's faults (there are several significant ones), but come on people - Apple releases a powerful media player with a stunning form factor and tons of functionality for a media player, and people complain that it doesn't have all the functionality of <insert PDA brand>. If you want more apps, get a Palm.
I'm not complaining so much as pointing out a flaw in Apple's strategy. Apple put all this money into engineering the iPhone - they could leverage this engineering to tap other markets. Instead, they chose to cripple the iPod touch, and not enter the market.
And to be honest, no, I don't think Apple wants to see a lot of third party development for the iPhone, at least yet. This shouldn't be news to anyone who has been a regular Apple customer over the years.
I don't really care about 3rd party apps (I'd rather first party apps from Apple). Basic functions like an editable calendar and a notes app would sure be nice, though.
What if Apple engineered OS X to only support Core Animation on Pro Macs? Sure, every Mac from the Mini to the Mac Pro is capable, but to push the high-end models, Apple decides to not support it on non-Pro machines. That's exactly what's being done here.