iPod Touch 1.1.1 Update (Screen Fix?)
Along with iPhone Software 1.1.1, Apple has also released the 1.1.1 software update for the iPod Touch which simply lists "bug fixes".
Some early reports by users are claiming that the Negative Blacks screen issue may have been addressed with this update.
Meanwhile, iTunes 7.4.3 for Windows has also been released which specifically addresses issues with the initial setup of the iPod touch on some international versions of Windows. No Mac update is presently available.