Apple will reportedly update the iPod touch this year, according to an AppleInsider source.
A source familiar with Apple's future product plans indicated that Apple's iPods — specifically the largest-screened model, the iPod touch — are expected to see an update later this year. The source suggested that Apple could retain the same 4-inch screen size as the current iPod touch model, though they didn't offer any certainty on that front.
Apple has neglected the iPod lineup for quite some time. However, the company is preparing to launch a new music service and it would make sense to have exciting new iPods debut alongside the service.
Since the iPod touch hasn't been updated in over two years there is a plethora of improvements Apple could make. It will be interesting to see if Apple makes it similar to the iPhone 6 but without cellular capabilities, or whether it will retain its compact size and focus on just music playback.
My iPod Touch "wish list" is 256gb or 512gb of memory. To give some reason for using the iPod touch over an iPhone and to hold my entire library. Then next maybe make it smaller rather than larger. Say keep the iPad 6 display resolution, but half the physical size. That lets software easily use it. And last more advanced wifi and Bluetooth stacks. Those in cooperation with a perhaps minor change to the Apple Watch software would allow pairing the watch to an iPhone and an iPod touch simultaneously.