No and yes. No they don't have a product like the iPod touch, but the Nokia Lumia 520 is the next best thing.. Maybe actually better if you think about it. First, its $69 at Amazon. Seconds, it has MicroSD expandability up to 64gb. Third, it has a cellular radio in case you ever want to turn it into a phone. If you want to keep it a media player, turn off the cellular radio in the settings. I hope that helps.
Jonathan