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Exactly...and that's why for me, it would work. I still also submit that if one was really pressed for more storage, SD cards are an easy and affordable answer...I mean on this device you aren't trying to pop Photoshop CS on here!
For instance, since I don't want to cramp my laptop with tons of movies, I have a 16GB card that I pop in the slot and voila! More music, movies and yep...photos.
Remember how much the iPod touch was a few years ago upon release...
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