System and method for differentiating between pointers used to contact touch surface

A touch system comprises a touch surface and at least one camera acquiring images of the touch surface. A pointer contact data generator generates pointer position data in response to pointer contact with the touch surface, the pointer position data representing where on the touch surface pointer contact is made. A processor communicates with the at least one camera and the pointer contact data generator. The processor analyzes acquired images to determine the type of pointer used to contact the touch surface, and processes the pointer position data in accordance with the determined type of pointer. In the preferred embodiment the processor distinguishes between pointer tip touch surface contacts, pointer backend touch surface contacts and finger touch surface contacts. A writing function is invoked in response to pointer tip touch surface contacts. An erase function is invoked in response to pointer backend touch surface contacts. Mouse events are generated in response to finger touch surface contacts.