Where is the difference?
as for me both sound quite identical…
The touch sensor only checks for material, while the collision sensor checks for material or property. Really, the touch sensor is deprecated (as far as I can tell).
The Collision sensor expands on the code of the Touch sensor and is really a superset of it. I’ve been meaning to just remove the Touch sensor; maybe I’ll finally get around to it for 2.65.
Interesting news Moguri
Free hugs for Moguri. XD
Ty Moguri, and im marking this as Solved : )
I know this thread is old, but just a heads up, 2.67b still has the Touch sensor…it’s time to retire it right 
Maybe touch sensor should be romoved when blender will enter 2.80 ? Just a suggestion, because 2.8 is a nice milestone forbreaking backwards compatibility… like 2.5 was 
We have a few old things in the bge. See KX_GameObject.position which even survived the API update in 2.49.
The TouchSensor is not that bad as it works as designed.
Yes, it works well and its very easy to set up!