Games I'm playing on my iPod Touch 2G:
Mazefinger (Free, and a lot of fun, especially played over car speakers : )
JellyCar (Best free game I've found - try it!)
Enigmo (Lots of fun, difficult at times, but not impossible)
Best app I've used is WinAdmin ($12), lets me remote control both of my computers (XP and .... Vista) with one click (okay, tap). Not perfect, but it works pretty good.
The iPod Touch 2G (32G) is the most expensive tech device besides my home computer that I've ever bought... still having second thoughs - could have bought a couple spyderco's and benchmades instead : )
-Arch
p.s. I was telling my brother about all the stuff my Touch can do, and he asked what's better about the 3G version...I lost it for a few minutes.