Mac Connection has the Apple iPod Touch 8GB 4th Generation (MC540LL/A) for $188
with free shipping. The white version
is the same price (currently backordered). Features a 3.5" widescreen display, multitouch interface, built-in speaker, 720p video recording, front-facing camera, Wi-Fi, and compatibility with thousands of apps at the iTunes store. Upgradeable to iOS 5.