I use my 2nd gen Touch every day.

Holds my music of course, a couple movies, contacts, calendar, home email, some surfing away from home, has useful apps, syncs seamlessly for the most part, remote for iTunes and excellent battery life once you adjust a few settings...especially compared to the Nano I used to have (fuck those things).

I am not usually a big fan of the iPod bandwagon shit, but they got it right this time around especially since this was going to be the last chance for apple to get a penny out of me for these things.