OK there are alot of articles on how to merge the Music + into this =

But the best thing is there is now an app for that Called " iTransform to iPod"

I feel not everyone wants to take a chance typing up code in a terminal prompt if there is a better way !

So its fairly simple, Goto the Cydia app click Manage then goto the top, click Search

Search for iTransform and you should see the app ! Then just install it !

It's from ModMyi.com. Click here to read about the details.

Note: Until the app store has the app your ipod touch needs to be jailbroken.
One other side note, iPhone already has this, this is for iPod Touch to be more like the iPhone.