The first thing to do: replace the App Store icon (taking up prime real estate on the base of the front page) with Safari.

My top eight items come with the Touch and require no explanation; the bottom eight front page apps, after three months of exploration, are:
Texas Hold 'Em - My only purchase from the App Store; I wanted a poker app that didn't plod retardedly along, and this one moves
rapidemente! Cost me $5, but saved me from a dozen crappy free poker products.
Echofon - A Twitter client that lets me Tweet when necessary (rarely), and check tweets from the peeps I'm following (also rarely)...
Fluent News - Now that the NYTimes App decided to suck (I forget why already, but I think it interrupted my reading with full page ads?), this is what I use for my breakfast and bedtime quick-news fix.
Flixster - Surprisingly irreplaceable app for helping me keep track of movies I want to see, and then rating them after I've seen them. (However, the website is a convoluted mess, trying to do too much and succeeding at little.)
Settings - Comes with the Touch. Mostly need it on the front page for quickly activating/deactiviating battery-crippling wifi when I come/leave home.
iReddit - For the non-mainstream news, fun shit, and dumb memes.
Instapaper - Awesome Awesome Awesome app. Ever find a long article online that you wanted to read later? With one click you can tell Instapaper to save it for you, then when you've got time to kill, voila, read it later.
31 Seconds - Handy for sunrise times, and also nice little daily quotes and birthday facts.
Honorable mentions:
Gibson's guitar app (metronome, tuner, and even video lessons -- if I'd had this when I was 15 I coulda been a contender! I coulda been somebody!) and
the Lightsaber app, which you've all probably tried at least once already, right? If not, look around and ask the first iPhone/Touch owner you see if they'll show you. They gladly will.