a) willfully ignoring the fact that the touch is a full-powered mobile device, with email
(with synchronization), installable applications
ranging many classes of software, including games
thanks to its rich API on top of a full mobile OS, all of the above with a fast CPU, an excellent GPU, and a touch screen that provides rich UI interaction;
b) don't think these are worthwhile differentiating factors from a Zune;
c) genuinely unaware of what the recent iPhone/Touch OS platform contains. (The iPod touch contains nearly all of the features of the iPhone, excepting the phone but with the Nike+ integration
If it's (c), I strongly suggest you try a touch out at some time, either a friend's or at an Apple Store. It is a completely different, far more extensible platform than the Zune, something more competitive with Windows Mobile 6.1 Classic or the Android platform. The difference between the latter two and the iPod touch is that the touch also
contains a first-class music and video playing app, comparable to the Zune in most aspects except for the aforementioned Zune Pass/subscription music platform. The iPhone/iPod touch are precisely
why there's been rumors of Microsoft adding the Zune interface to WM.
If it's (a) or (b), then I'm afraid we have nothing further to talk about. I am all for the Zune succeeding as a device, but calling the touch and the Zune as roughly equivalent featurewise is simply incorrect, incomplete, and misleading, and a disservice both to the touch and the Zune.