iPod Touch: Large Screen version coming soon?

According to Techcrunch, a large screen version of the iPod Touch could soon be launched by Apple some time in 2009. Apparently the folks at Techcrunch have actually handled the prototype and Apple is actually talking to some manufacturers in Asia to mass produce the device. Could this be the fabled Apple Netbook that has been rumored all along?

If this was indeed the Apple tablet or Apple netbook, then its certainly a step in the right direction from Apple. It really doesn't make sense to continue selling the iPod Touch in its present form factor since it offers no value proposition when compared to the iPhone. The price is definitely lower, but with subsidies offered by mobile carriers it is hard to imagine why people would choose the iPod Touch over the iPhone. Anyway stay tuned for more news on this!