First off, I'm relieved the didn't phase out the 8GB model as they did the 4GB iPhone and have the 16 GB Touch be $300, considering I just bought my 8 GB touch

. Storage is not a priority for me in a portable media player. I have a small music library and most of my listening is podcasts. 8 GB is enough for all my podcasts, 5 full length movies, my music library, and my 3rd party apps with 3 GB to spare. I'm sure people with huge music libraries will care about the 32 GB model, but I couldn't care less.