I'll admit to only being an iPod Touch owner for two weeks, but so far the device has acted perfectly until today.
I was playing some music, and while I was playing with the music selection menu, something strange happened. All the controls disappeared. So I can see the album cover, but none of the play, pause, fast forward type controls. But the music was still playing.
So anyways some time later, I go to unlock the device and I get the familar Earth wallpaper. But no "Slide here to unlock".
It's really weird. I made a video of it here.
Anyways, rebooting the device has fixed it for now. But does this have anything to do with upgrading to iPod software 1.1.1? The same version that bricked a bunch of iPhones? Don't know.