Where the two models diverge is in the efficiency of the internal components. The iPod Touch’s internal design is optimized for its slimmer shape, according to iSuppli’s analysis. The components are packaged in an innovative way to conserve on space.
The iPod Touch also gets away with using just one Printed Circuit Board instead of the two found on the iPhone; and, it relocates the touch-screen circuitry to the PCB from the touch-screen module itself (as the components are configured on the iPhone). The iPod Touch also uses a different set of components for the iPod’s touch’s Wi-Fi connectivity.
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