At a loss...
It seems a lot of people here purchased the 3g Touch, but how many features did that add from the previous generation besides a bump in processor speed and storage? I'm upgrading from a 16gb 2g touch to the new 64gb 4g and I couldn't be more excited. A lot of you are comparing the new touch to the iPhone 4 but what you should be doing is comparing it to the 3g Touch as the iPod and iPhone are two different products. Here's the way I see it:
Screen - Huge upgrade in resolution. I'm excited to finally see the games I have that have been updated with high resolution graphics. As far as IPS is concerned, I've been using my 2g touch for 2 years and I've never had a problem with the screen looking bad from viewing it off angle. It's a tiny device! Why would anyone be looking at it from any angle besides head on??
Camera - The last generation had no camera, this one has two. Are the cameras as good as the iPhone? No. But again, not a really fair comparison as they are different products. It's a freakin iPod... I'll use the still camera for quick snapshots to upload to facebook/twitter. 960x720 resolution is fine for that. The video camera on the other hand looks pretty good judging from the test videos I've seen posted to Youtube.
Processor - Yet another bump from the last generation. Judging from the time I've spent with an iPad and iPhone 4, the A4 chip screams.
Those were the biggest additions. Besides that, there is the gyroscope, built-in mic, and a slightly better speaker. The RAM stayed the same at 256mb but that's more than enough for an iPod. That's all the iPad has and I haven't heard too many complaints about lack of RAM. I suspect the iPhone 4 has more RAM because of the phone/messaging app that's always running in the background. Apple added more features and upgrades to the new Touch than all previous generations combined! If some of you wanted the exact features of an iPhone, buy an iPhone!!!