Lost amid the rainbow colors and stainless steel iPod Touches is the fact that all of the new iPods have Audio-in. While this is nifty on a Nano (record notes?), it is downright intriguing for the Touch.
The first thing that obviously comes to mind is the Voice over IP possibilities. Truphone(iTunes link), the Voice over IP application that was originally made for iPhone *should* work for iPod Touch 2G. Cool.
But this leaves a lot more interesting gaming possibilities as well. Specifically, will MMORPG games and such that use audio to communicate incorporate these features?
These are exciting times to be an iPod developer… or user!
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