its not such a stupid idea, apple have made massive leaps and bounds ove rthe years by reinveting its products.

The iPod went from MP3 Player, to Massive Storage MP3 Player, to MP4 Player to Mobile Phone, not to mention its spinoffs, with little ens and touch ens, etc why wouldnt the next gen be prepared ready?

Agreed. As long as these things fly off the shelf for the music and video playback capabilities, why not add gaming functionality to the list? Very few games types of games would be playable with the full-screen-touchscreen, but I'm sure they could get creative. It wouldn't be bad for RTS titles (though it'd need a stylus pack-in...) or mini games. That gorgeous display is just begging for some gaming action...

Also, the ability to buy games direct online from the iPod Touch would be the same thing Nokia was trying to do witrh their new line of N-gage equipped smartphones, only in this case Apple would actually be able to practically put the idea into motion with it's massive pre-installed user base...

steve jobs: "look at it, it's goorrgeous."