iPhone and model

Further information: iPhone OS and iPhone OS version history

The iPod Touch and the iPhone, a smartphone by Apple, share the same hardware platform and run the same iPhone OS operating system. The iPod Touch lacks some of the iPhone's features such as access to cellular networks and a built-in camera (and microphone on older models); as a result, the iPod Touch is slimmer and lighter than the iPhone. Steve Jobs once referred to the iPod Touch as "training wheels for the iPhone".

The second generation iPod Touch has an external volume switch and a built-in speaker like the iPhone. The second generation also comes with the chrome frame seen on the iPhone 3G, making the two almost identical when viewed from the front. However, there are some notable differences, as there is no speaker above the screen, no silent/ringer switch, the back is metal, and the sleep/wake button is on the other side. The second generation also supports audio input when a headphone or earphone with microphone capabilities is plugged into the audio output (headphone) jack. The iPod Touch 2.0 Software Update supports WPA2 Enterprise with 802.1X authentication. The iPhone OS 3.0 update unlocked Bluetooth capability on the second generation iPod Touch, as the included Wi-Fi chip (Broadcom BCM4325) has Bluetooth support.

Second generation iPod Touches are said to have a yellower cast/tint to the display, as compared to the iPhone or the original iPod Touch.^[11] The applications processor inside the second generation iPod Touch runs slightly faster than the processor inside the iPhone 3G, but slower than the iPhone 3GS. The first generation iPod Touch works with all "Made for iPod" peripherals, but certain changes that Apple made to the second generation iPod Touch prevent some existing peripherals from recharging the updated player. The Google Street View feature added on iPhone firmware version 2.2 is absent from the same version of firmware released on the iPod Touch but is found in the 3.0 update.

Apple has received criticism for its allegedly differential treatment of iPhone and iPod Touch owners. Such criticism is primarily targeted towards Apple charging iPod Touch owners for major software updates of the iPhone OS that iPhone owners can obtain at no charge as well as excluding certain features from the iPod Touch software that are included in the iPhone. Apple has been reported as saying that they can add features for free to the iPhone because the revenue from it is accounted for on a subscription basis under accounting rules, rather than as a one time payment.