I think this would be an extremely good device if it were to include
1. An Email application,
2. A way to sync your camera with it (like the iPod photo used to do), then upload your photos to iPhoto from anypoint in the world using Wifi
3. IM support as well as Skype (with a somehow magic Mic and speaker appearing out of nowhere)
4. A way to Remote desktop with your Leopard Based Mac, Allowing you to access FrontRow, and Stream media content over your home network or Internet similar to Apple's aTV and Sony's Location Free. This would allow you access to more media than 16GB allocated on the device
This new iPod has a much closer Design to OSX Leopard with its dock not completely covering the icon like in Tiger and the iPhone, I would say that the next version of the iPhone has a similar dock.