Apple is getting ready to launch a new iPod Touch with a built-in camera and microphone, according to former CNET editor and MP3 Insider Eliot Van Buskirk, who now writes a Wired blog.
This rumor has been circulating for a while, but Van Buskirk writes: "A well-connected source tells us those rumors are on the money, and that Apple's factories in China are already manufacturing iPod Touch models with integrated cameras and microphones."
The short piece talks up the fact that with inclusion of a microphone and a quick download of Skype for iPhone, the iPod Touch would become a nifty VoIP phone wherever you can get a Wi-Fi connection. The new iPod would most likely be enhanced with voice commands just as the iPhone is.
There's nothing in the post about the possibility of a 64GB iPod Touch, but we're still counting on Apple to produce one when the line is upgraded--most likely this fall. (Last year's new Touch roll out was September 10.) A lot of folks are hoping Apple will introduce a jumbo iPod Touch/Netbook in September as well.
Additional reading: Is iPod Touch getting a camera?