It's broken on my 5S and my iPad Air 2.
What's odd is the first time I made a "purchase" in the app store, I got prompted if I wanted to enter my password "always" or once every 15 minutes. I chose always and it said I could change this in settings, which you can't unless you disable Touch ID.
I say it's a bug. It seems like the iTunes & App Store "Password settings" are overriding the Touch ID settings. If I turned off Touch ID for iTunes, then change the settings to not prompt for passwords for free downloads and then turn Touch ID back on, I won't get prompted for free downloads. I still get prompted every time for paid downloads though, so it's like it's completely ignoring the Touch ID setting for iTunes and App Store.
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Anybody having other bugs??? I'm seeing a number of things, one glaring one is that the status bar (Cellular status, time, and battery %) disappears when going into the call history and voice mail screen...
I'm also experiencing the app store TouchID bug which is annoying...
Only other bug I've seen so far is that the free space and usage reported by iTunes is completely inaccurate. It's off by several GB.
I'm also having a problem accessing a web server since Apple removed some root certificates in iOS 8.3, but that's technically not a "bug" per say.