I've been finding a stylus very useful for pinpoint accuracy even with a touch screen (not everybody's hands are suitable)
The best place for a stylus to be housed though is inside the phone It appears that the N8's stylus is detached. This was a disaster on the Sony Ericsson Satio. I hope Nokia aren't doing the same mistake. When one is housed in the phone there's a far less chance of losing it and it's far more convenient to start using istead of having to scramble around in a pocket or bag looking for it.