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GPS wouldn't work. GPS requires constant connection, something that can't be done on the ipod touch. You'd have to pay for that, extra.

No, GPS doesn't require an internet connection. It would be great for the iPod touch in conjunction with a camera (so you could geotag your photos). But in order to use google maps, you need a connection. It would be possible to use a maps application that stores the maps on the internal SSD with a built in GPS on the touch, because it wouldn't need a connection to display the maps.
 
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