While iPhone owners agonise over the choice between third-party functionality or Apple’s latest firmware update (and those with unlocked iPhones hopefully sit on their hands and ignore it, lest their handsets get re-locked and refuse to recognise the original AT&T SIM), rumours are afoot that the 152.3mb download may just have some benefits to iPod Touch owners too.

“My screen is now perfect. Videos and pics don’t have the negative issue anymore, and overall, the screen looks crisper. I’m not sure if I’m just imagining it, but bright colors look clearer and brighter” MacRumours Forum member ‘thesdx’

Some iPod Touch units have shown inverted colouration

Users at the MacRumors forums are reporting significant screen quality changes after applying the 1.1.1 firmware upgrade, which downloads via iTunes and is advertised by Apple as “bug fixes”.  Currently contentious, it looks as though Apple have attempted to tweak the inverted colouration effect witnessed on some iPod Touch by altering the default brightness and contrast settings.

There’s plenty more 1.1.1 firmware coverage over at our sibling site MY iTablet