If your having problems with your ipod touch as I was previous I have found a solution. This applies to iphone and ipod touch users third generation and some late model second 0n 4.0.2 and above jailbroken using redsnow and or limeRain as the jailbreak
the jail break changes the file allocation for the video out and replaces them with the jail break files thus leaving the video out locked out
happened to me!
once i restored my touch to the original unjailbroken 4.1 (restored not updated) eveything worked perfect without a glitch
but if you have to be jailbroken as some iphone users are you can download TVOUT2 from cydia as an alternative. some have had success using that but it will require screen calibration to make it perform up to par
hope this helps
greg