This deal has ended.
Amazon is now offering the 32GB Second-Generation iPod Touch for just $249.99. That's the best price we've seen on the this model of the Touch since December, which is basically an iPhone with the web browsing and video capabilities, but without the calling function or phone bill. This is not the newest generation, however the difference between the two has been described as relatively negligible. Shipping is free and there is no sales tax (except KS, KY, ND, NY, WA).