It is fairly clear by now that there are an awful lot of issues with the latest firmware for the iPod Touch. The Discussion forum on Apple.com are alive with threads from disgruntled Touch owners feeling the pain of being an early adopter.
Personally my Touch has a number of issues at the moment and more are coming to light as I use it. The first problem I hit was with the iPod dock in my car ( a new Honda Civic ). This works by emulating a CD auto-changer, with the virtual disks being represented by playlists named Honda1, Honda2 etc on the iPod. Unfortunately since the upgrade the skip to next/previous disk buttons on my stereo now cause the iPod to effectively disconnect meaning I cant use the car dash to control playback, which is a royal pain.
The other problems I have noticed are fuzzy cover art, issues with backlight staying on, and the killer for me is Last.fm app is completely broken.
Hopefully Apple are on the case and will get another version out quickly. If not I will seriously consider going through the hassle of restoring back to 2.0.
What problems have you had with 2.1 ?

I own the honda adapter too, and have had the same problem. I just get the CDEJECT error as soon as I change to Playlists 1-7. Curiously 8 and 9 seem to work. I hope this will be fixed soon, as I like the rest of the update. It seems faster and more responsive.
Agree entirely Richard. I really dont want to have to go through the hassle of restoring to V2 again, but if they dont come up with a fix I think I may have to if only to restore proper working in my car. I can live with the blurry cover art and from what I understand the Last.FM app is going to be fixed in the next release, but the car adapter issue is a bit of a deal breaker for me.
I had experience some problems with the wireless connection since the second day i made the update. it seems like the ipod looses the comunication with the wireless router and the internet speed becomes really slow.
Also some troubles with the cover flow and the genius playlists. It would be better that apple tests well their new firmware updates before they launch them, so that we dont waste time downloading just to finish restoring back to a stable version.
my tv out has stopped working. Unable to use apple composite cable to watch movies on tv
I spendt £510,- having an OEM iPod adapter installed in my Civic by a Honda dealer, and now the playlists don't work like you say. They better have this fixed over at Apple's soon!!
It has also become unstable regarding e-mail acounts. Have experienced problems both downloading and sending mail, used to work before.