Hey, I'm a geek. Just not a card-carrying one.
The only, only
reason to add a color screen to an iPod can be summed up in two words: better games. :p The iPod is a listening
device. Color is superfluous for people using it for music.
Now, if you could plug a digital camera directly
into a color iPod, it would make for a nice photo storage device. But if you have to carry around a card reader and adapter cable and all that junk to use it, forget it. Too un-Apple-like.
Digital video on an iPod is pointless. I don't really see any appeal in having a portable video player, when you have to go to the hassle of digitizing and recompressing the video to get it onto the iPod in the first place. Too much work for too poor of an end result.