Before this quickly turns into a iPad bashing thread, the most important thing is your needs. If you want an instant-on device to read email, it's fine. For viewing pictures (16:9 landscape), it's less fine. For reading e-books (portrait), it's pretty good. For web sites, it's pretty restricted but fairly usable. It's a pretty device.
i.e.: instead of looking at what it will do and trying to force-fit your needs into that sphere, be you-centric. I love the iPod touch for quickly reviewing email and once-in-a-while web-site access. What do you want to do with it? How often have you thought, gee, I'd like to check something but my computer isn't with me/takes too long to turn on.
The touch interface is nice when you're sitting somewhere tho.
I won't be getting one cause it's too big for me to carry around and I don't need it at home. Personally, if they'd give it a folding cover (like a netbook) it'd be a lot more useful. That folding cover could contain more touch buttons or a qwerty. It seems stupid to me to make something with a glass screen with no cover. Just so purchasers can buy a sleeve!! Huh!!! For portability, I carry around a netbook dual-booting Linux and Windows. For my purposes, it's far more useful.