iPod touch Video Hands-On: Who Needs an iPhone 4?

Now that the iPod touch has a Retina display, HD video recording, and a front-facing camera for FaceTime calls, you might be wondering, why would I need the iPhone 4? Since I’ve been in San Francisco, I’ve dropped a few calls on AT&T’s network, and I’ve started using the Evo 4G instead. Maybe it’s because there’s a big tech conference going on in the city, but data performance has also been poor. So the question for people who love Apple’s apps and iTunes–and not AT&T–is whether you should get the new iPod touch (starting at $229 for 8GB) and use a different phone altogether.

Based on my hands-on time with the new iPod touch, I could see a lot of people toting this device and a separate handset. The design is thinner (.28 inches vs. 037 inches) and lighter (3.56 ounces vs. 4.8) than the iPhone 4, and you get the same gorgeous 960 x 640-pixel display. It also has the same zippy A4 processor under the hood, and will hook into Apple’s new Game Center for multiplayer action. Granted, the design of the  iPhone 4 is more elegant, with its squared off edges and all black back, but the iPod touch is pretty sweet.

So how does FaceTime work on this PMP on steroids?

In a quick call over Wi-Fi, the video quality was pretty clear, and we noticed only a bit of stuttering in the stream. Plus, you can call iPhone 4 owners easily. You’ll also be able to record HD video on the spot, though you won’t be able to share footage via MMS anywhere as you can (or should be able to) with the iPhone 4. Too bad the still photos are limited to just 960 x 720 resolution. That’s a huge drawback, considering the iPhone 4 shoots 5-MP images.

Check out the gallery below and let us know what you think about the latest iPod touch. The price isn’t exactly cheap, but it’s reasonable for the capacity, and you don’t have to pay a monthly fee for data and voice that works only some of the time.