Is Apple losing its edge?

First the iPhone 3GS was a major disappointment, with very little in the way of exciting updates from the 3G. I was poised to buy the 3GS if the camera was any good, but it turned out not to be. For that reason I stuck with my 1G iPod Touch and bought a fantastic Sony camera that does HD video. I felt that maybe the next generation of iPod Touch would be basically the iPhone 3GS minus the phone part, i.e added compass, GPS, camera and microphone. Like many others I patiently awaited the launch event.

What did we get? A faster processor and some more storage. And that's it. So underwhelming that Apple's share price seems to have taken a hit, and I have yet to see a good word written about this "new" model.

Insult to injury? Apple once again brags about the vast number of games on the App store (over 20,000) but fails to mention that you can't even install 200 of them and have them visible on your device. Ths is despite the new 3.1 operating system. What we can do is move the icons around in iTunes instead. R-i-i-i-g-g-h-h-h-h-t....

Someone please innovate in this space, because Apple has forgotten how to.