Upgrading your iPod touch to 1.1.3 isn't seamless, but it does bring welcome changes.
Like an iPhone
The update made my iPod touch even more like an iPhone. Place the iPhone and updated iPod touch side by side, run each device's Mail, Maps, Weather, Stocks and Notes applications and you'll find them indistinguishable (not surprising considering they are exactly the same applications).
The Settings screens of the two devices are a little different as the iPhone has to accommodate settings for the iPhone telephone functionality (Airplane Mode, Usage and Sounds—for assigning ringtones). Contacts settings earn their own entry on the iPod touch while they're contained within the Phone settings on the iPhone.
The iPod touch has separate Music and Video settings whereas the iPhone puts these settings within the iPod entry. The General setting on the iPod touch lacks a Bluetooth entry as, obviously, the iPod doesn't have Bluetooth capabilities.
Move to the Home screen and tap and hold on an icon and all the icons on the screen start shimmying. To move an icon just drag the icon to a new location—to the dock at the bottom of the screen, to a new location in the main collection of icons within the main window, or to the right, off the screen, to move the icon to a separate page. To stop the shimmying effect, just press the Home button.
To move to another page, you can either swipe your finger horizontally across the iPod's screen or tap the dot just above the Home screen's Dock row that represents the additional page you want to move to. (Jailbroken phones running the Summerboard application have a similar multipage flicking system, but tapping Summerboard's dots don't move you to another page.)
The applications behave just as they do on the iPhone running 1.1.3 software. All the new capabilities of the Maps application are here too—Location, hybrid map view, the ability to place a pin and bookmark it, and the cool page curl effect that exposes options behind the current map. Mobile Safari's new-found ability to save bookmarks as Web Clips on the Home screen is there too.
The iPod touch running the 1.1.3 software with the iPod touch January Software Update is in essence an iPhone that can't make or receive calls and lacks a speaker and camera. And it's a nice thing to see. Many people found the lack of some of the iPhone's features and applications on the touch more than a bit arbitrary. It appears that Apple now believes so too — or, at least, is willing to believe so if you're willing to pay an additional £12.99 to add those things to the iPod.