The iPod touch in Japan is not near as popular as say a place like the US where there are plenty of open WiFi spots to use. Japan is more smart phone oriented if you will. So this might be affecting the deployment as well.
this.
rarely see them used in japan. most places try to bundle them with mifi for connectivity, but you need to pay up the arse with a 2 year contract.
wifi is limited to maconalds and larger stations (for the most part) and it ain't free.
maybe on sheer population they outsell australia, but per capita australia would easily outdo japan.
good on you steve for rewarding the loyal customers.