Can Apple make the iPod touch attractive now?

As we all know, Apple cut the price of the iPhone to $199, making the 8GB iPod touch now the same price as a 16 GB iPhone. Of course, in the long run, customers will be paying just as much if not more for the iPhone 3G than the original iPhone, but who thinks about that when you see “iPhone – $199; iPod Touch – $299?”

There are a few solutions to this, none of which are great. I outline them after the break.