Many changes are made to Apple products between the development and production phases, and unfortunately, the 3rd-generation iPod Touch lost camera functionality before its official launch. This DVT-1/2 unit proves it, which made a brief appearance on eBay, until the device(s) was promptly removed. Click here for first picture in gallery.
Subsequently, "manufacturing problems" came up before the release of the official product, and Steve Jobs went on record saying that it was impossible to fit a camera in a device as thin as the iPod Touch.[via Slashgear]
