Rumorville: iPhone/iPod Touch to get FM radio?

Word on the street has it that Apple is working on an FM radio app for the iPhone and iPod Touch that would play tunes in the background and let you tag songs you like for purchase on iTunes.

There's been no official word from Apple, of course, but 9 to 5 Mac reports that the "Radio.app" is "being developed in-house" at Apple HQ, and that it'll include several of the same features now present in the new iPod Nano's FM radio application.

Among those features: The ability to "Live Pause" and rewind an FM stream, similar to the way a DVR works, plus "iTunes Tagging," which lets add a song to a list of tagged tracks for purchase on iTunes, according to 9 to 5 Mac.

A key feature of the rumored FM radio app (which might be incorporated into the iPhone/iPod Touch's existing iPod app, 9 to 5 Mac claims) would be its ability to play music in the background. That's a feature that's missing in such popular streaming music apps as Pandora, Slacker, and Last.fm, which are perfect when it comes to music discovery (fewer commercials, too) but leave you hanging if you want to listen while you browse the Web, check e-mail, or otherwise do something else on the iPhone.

9 to 5 Mac notes that adding an FM radio to the iPhone/iPod Touch would be especially easy since both devices already support FM reception and transmission, although those features are currently only used for Nike+ accessories.

An FM radio for the iPhone/iPod Touch would also match—kinda, anyway—the Zune HD, which now comes with its own FM radio. That said, the Zune HD supports HD radio, while the FM tuner on the new iPod Nano doesn't.

So, what do you think: Does the iPhone/iPod Touch need an FM radio? If it got one, would you ever use it?

Related:
In-house Radio.app in the works for iPhone and iPod touch [9 to 5 Mac]