I dunno - for me, the iPhone/Touch is ALL about the App Store (and iTunes).
How quick it is to load, to download, to browse and to quickly purchase is unrivaled and that alone should ensure its dominance. No other system will come close to it (over a billion purchases to date...)
I'm getting an iPhone tomorrow, what I've seen/heard, i dont think its worth waiting for any new form factor as it isnt going to be much different. Storage doesnt bother me as I have 80gb+ of music, so whether its 8gb or 16gb or even 32gb is neither here nor there, its not going to be able to cope with my library.
I dont use the Touch as a mobile music player anyway as I work from home and rarely need to use it outside the house.
Congrats on your purchase! Im sure you'll enjoy it!
From what i read it sounds like your prob right about it staying same size, so no, unless you're dying for a digital compass, they're prob wasn't a whole lot of point in waiting, prob got it cheap too now i'll bet!
I think the hardware they use on the next generation will dictate it's success. If it's not significantly different - and I do mean significantly, not just the odd tweak or change here and there - there will be no reason for current iPhone owners to buy one.
Last time around upgrades played a huge part in the sales of the iPhone 3G, where 2G owners upgraded to get the internet speeds needed for such a web-centric phone. This was something that benefited almost everyone too, as in one way or another, the vast majority of iPhone users use mobile data services.
So if the new hardware doesn't offer something genuinely worth upgrading to, why bother? We know the 3.0 software will come to the current hardware and it would be a safe bet to say that the majority of 'new' features are software based.
What could they change to improve the current model?
Camera? Not everybody cares about the camera resolution, so that's only going to please some people. Even with a flash, auto-focus and a higher resolution, it's not going to compare to a real camera.
Video recording? People who care about video recording, really care about video recording. Can anybody see Apple making the best video recorder in the market?
Storage? Even 32GB is too small for a lot of people, which is the likely top models size. My library is fairly modest and still way over that. This would be a good place to upgrade, but it's not going to make everyone rush out and buy one.
What else can be done... digital compass is only useful if they allow TomTom et el to launch software for the iPhone. FM Transmitter? Nice option, but more and more cars have AUX sockets these days which offer better audio quality. I'm running out of things now....
In my opinion, it's the less exciting things that will tempt people. A big jump in battery life. A higher screen resolution. Better signal strength and better ability to keep and find a mobile signal. Size. Weight. Build quality. All these things are things everyone can benefit from, whatever you do with your phone. But in my opinion the most important aspect is.....
If you have an iPhone 3G and you see somebody else with the 'new' iPhone and it looks significantly different, you're going to want to upgrade. This is the key to everything in my opinion. Apple attract a certain type of buyer, those who care about image and looking impressive, those who care what other people think. Give them something obviously new and you're onto a winner.