What do you think of the Ipod Touch 2nd Generation?

You mean the 4th generation? Yes it's awesome. I am typing this from mine :P it has a video cam and you can face chat :)

Don't get an iPod!

I have use tons and tons of IPods and a few Zunes. I must say the Zune HD is much much nicer! First of all it's interface is much cooler than the old boring iPod touch's. It is called the Zune HD because it can play HD videos, has an HD radio tuner, and can output 1080p content to an HD TV. Sure there are not nearly as many apps for the Zune as the ITouch but all of the apps for the Zune are quality premium apps. Plus they are free. Also it seems a lot of the apps for the ITouch are useless No it does not have a camera, but who needs a crappy 2 megapixle camera. Use an actual quality camera. The music sounds magnificent on the Zune HD. The screen is 100 times better on the Zune HD than on the ITouch. The screen honestly looks great. It does have a web browser on it, and although just a tiny bit slower than the ITouch you won't notice the difference. So basically the Zune HD is more about quality. If it is not good quality it won't be on the Zune HD (For example: speaker or camera). Plus there is a sale going on right now so you can get the Zune HD for $80 less than the ITouch.There is not a texting app on the Zune HD, but if since you have a yahoo acount you can text from that while you are online So if you are looking for a device that has some premium media feature and a handful of nice apps, go for the Zune HD. But if you are looking for a device that slacks on quality, but has a few more features then settle for the ITouch.

Hope I could help!

It's good and yes it has the speaker and yes there is the app text free and I don't think there are any faults (friend has it)

Edit....

I actually didn't even notice the difference with the 2 gen and 3rd

I loved it at first but since I had it for a year, it malfunctions at times....you can play it outloud without the headphones.

you should definitely get one! its amazing!