I have a kindle that picks up wifi. Will an iPod touch automatically pick up the same signal that the kindle does?

You do if you plan to put music you already own on it. Depending on what you plan to do. You don't even need WiFi. An Ipod Touch is basically an Iphone... without the phone stuff in it.

You need to use iTunes to transfer files and install apps. That's the main reason I don't buy Apple products. ITouch does have Wifi access for any apps, web or email access.