<i>Rumors have swirled about Apple readying a new version of the iPod Touch with a camera and microphone, which, combined with a Skype account, would pretty much obviate the need for a home phone line once and for all.</i><p>1. Pretty sure that need was obviated years ago, when cell phone coverage became ubiquitous.<p>2. I really doubt this will make much of a dent in the home phone market, as VOIP handsets have been available for years.<p>3. I agree that the iPhone network plans are overpriced, but I really don't want the hassle of carrying two devices, hunting for open wifi, plus the cost of buying them both, a skype number, etc.
This is my dream handheld app. I'm finally moving to the city, so wi-fi will be constantly available, and I can't afford the iPhone's network plan.<p>The perverse Apple fan in me, of course, doesn't even care about this upcoming technology as much as he cares about how awesome the keynote announcement will be.
There's probably some potential for Apple to grab a decent chunk of the low-end/mid-range camera market. Convergence is a bigger selling point than pure quality these days for portable electronics. In the future when the iPhone is $50 with contract on any carrier the Touch will have to become a more unique device to justify its existence. If Apple were to make it larger (about the size of a paper back) and give it a legitimate camera it would be a very interesting device.
<i>combined with a Skype account, would pretty much obviate the need for a home phone line once and for all.</i><p>as the iPhone OS still does not support background applications, this is barely true - unless you want to keep skype running all the time which would render you unable to do unimportant stuff as, say, change the track you are listening on.