The Classic iPod has a hidden feature that enables “disk mode” and transforms it in to a storage device for files. You can also install you portable app here and it can be used as removable drive.
Now days trend is flowing towards iPod Touch and iPhone, expectations are that they have same capabilities with the Classic iPod. We don’t know yet that iPhone software revision 2 consists of disk mode or it is disabled.
Suppose you buy 32 GB of £ 300 iPod Touch, you will be thinking how to fill it.
DiskAid is a tool that enables you to access your iPhone Touch or iPhone and utilize it to save files. It is not exactly like having removable drive or iPod in disk mode, so portable applications can not be installed on your iPod Touch or iPhone, but it can be used to store files and data.
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Software developer site
File size 1.6MB.