iPods are the main thing that allowed iPhone (the bigger brother of iPod Touch) to be successful. I'm reasonably convinced that without the iPod craze, Apple's phone wouldn't make such a big market impact, if they would release it at all.
What’s funny is that there were two years worth of rumors about the “true video iPod” and people nailed the specs of the iPod Touch. But no one suspected the “iPhone” that had also been rumored would be basically the same thing
