No they dont' take up much room. Most are only a couple MB in size.I'm thinking of getting an Ipod Touch 8GB one.
Question do the apps take up much room?
Becka, I have 42 apps on my phone, and in total it takes up 184MB of space. Not too bad considering! If you think you might want to use the internet on it quite a bit though, you may want to consider getting an iPhone, as you can only use the iPod Touch where there's WiFi. That might be ok for you, I just know my friends that had the iPod Touch either all got iPhones in the end to have the mobile internet, or they want iPhones and wish they'd got one instead!