iPodlounge has details about the iPod Camera Connector and how photographers should expect the device to work with their other gear.
Apple said that most cameras with USB connectivity can be used with the iPod Camera Connector, and must support either the PTP, Type 4 (Normal), or Mass Storage protocol.
So that’s good, and means most flash memory card readers should work with the iPod, but check out this little nugget:
“While an iPod photo with an attached iPod Camera Connector may recognize another iPod if you connect it, transferring photos from one iPod to another is not supported.”
Someone build be an iPod-to-iPod music transfer software right now.
Apple provides further iPod Camera Connector info [iPodlounge]
Update: Kirk Eberle writes:
How about a PSP to an iPod via Camera Connector? Do you think one could transfer PSP compatible videos/photos between the two? That would be a nice use of the extra GBs left on one’s iPod, and make it unnecessary to buy a largely spaced and pricey memStick Duo. One could settle for a moderately priced 512 stick, and STILL have GBs of portable PSP entertainment!