This is a pleasant touchscreen device. It uses resistive touchscreen technology, the kind of scratch-resistant surface that I prefer to the easily-wrecked iPhone screen. But my preference isn't going to please others who need instant tappy-feely from an iPhone because you need to push the screen when making selections, not just touch it, as with capacitive screen technology. I like that, because it's the interface I used in glass cockpits and it's the kind of surface I prefer on my ceramic hob at home.
I can see why the iPod is eating dust. With 128 MB in my cameraphone and 16 GB of removeable storage, it's no wonder the venerable iPod is feeing the heat. I've put off upgrading my iPod to a colour video edition because at every Christmas, a more compelling multimedia phone fell off the shelf and into my Christmas stocking. The Satio is yet another reason not to buy an upgraded iPod. (That just means I'll get an iPod Nano and promise to start running again.)
Convergence! I've a lot of SonyEricsson gear and my life features several frequently-used Bluetooth components. I expect to connect the Satio to my HBH-980 earbuds and to the Bluetooth shotput speaker from SonyEricsson that I frequently pump up in my multimedia classrooms.
Check back in a few days and see if I've updates about SE's Satio after I get another hands-on session using it.
Bonus Link: Using the Satio.