There is this panel discussion with Jobs and Gates, circa mid 2000s, where Gates describes the future of computing in now-obvious iPad form, and Jobs is obviously taking mental notes
History is that the iPhone project started in early 2005 and before that Apple was already prototyping touch screen tablets but decided on releasing a phone first.
No, they didn’t. iPhone was released in June 2007, iPod touch in September 2007. Perhaps you are thinking of outside of the US? (First iPhone was sold in the US only)