What will I be able to do with an av cable for my iPod touch?

I read on http://gadgetgrid.com, that you can do all the things Appletv can, but also (of course) check email, an surf the web, and see it all on your tv. If nothing else, you can plug it into your component set, and play your iPod through your stereo system speakers.

this is the article, what shoots to mind, make sure you get the right cable, there’s a big difference between composite and component (composite being the better one, found on new tv’s)