Apple has announced a new iPhone but what about a new iPod Touch? Though for iTouch owners, the iPhone 2.0 software is only $10 away, they are still faced with the inescapable truth that they are 100% stuck with the same hardware… and pricing.

Why invest money on a 16GB iPod Touch and an added $10 for iPhone 2.0 when you can get iPhone 2.0 plus a GPS- and 3G-capable device with calling and a 2MP camera for half the price? A ray of light: supplies of the Touch are dwindling, AppleInsider suspects, due to another announcement from Apple? The most logical upgrade is a storage one, but it’s also entirely possible Apple is going to give up on its PMP business.