Yeah. Like multitasking and things like that. I can understand why they don't want that on slower processors like on the older touches/iPhones. But wallpapers just doesn't make sense to me. I've had live wallpapers on an original iPhone and the phone keeps up pretty well. I'm sure Apple has their reasons..
Hmm, that's odd, I still haven't been able to get the 4.0.1 update on my 2G Touch, it doesn't show up when I connect it to iTunes. Oh well, I am sure then that by 4.1 (which I'm assuming will also be released to iPads too) they will have closed that hole in safari. As for the limitations put upon the 2G Touch, I understand why they put them there, but seeing as I've actually removed those restrictions once and used the device for a while and got to see firsthand the effects it had, I simply which that there was an easier option to enable them if we wanted to from Apple. (like being able to switch from "better battery life" and "better performance" in the power options.)
4.0.1 is actually out already. That's what made the bigger bars. Not much of an update. But I have live wallpapers like the android phones. Facetime on 3G. WiFi hotspot and tethering for free. and status bar notifications. Some little things and some big things. Just nice to have. Also I am trying to get this HTC HD2 theme on it. Not everything needed is iOS 4 ready yet. Just google HTC HD2 modmyi and You will see it. It's pretty sweet.
So what do you think about the badly limited iOS 4 on the 3G and 2nd gen iPod touch?
Honestly, the in-browser hack, should be patched when 4.0.1 is released. However the RedSnow/Ultrasnow breaks work great. I've used them on my iPod Touch. the only problem so far has been that MobileTerminal doesn't work on iOS4 yet, so I can't change the default Root password to help protect against malware.