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The iPod Touch, essentially a phoneless, camera-less version of the iPhone, has the same 3.5-inch screen, multitouch interface and home screen as the smart phone. The iPod Touch has the ability to connect to the Internet with 802.11b/g Wi-Fi. The Touch comes with Apple's Safari Web browser and has built-in Google and Yahoo search.
The new iPod comes in two configurations, an 8GB version that costs $299 and a 16GB model that costs $399. The battery in each can handle 22 hours of audio playback or 5 hours of video, according to CEO Steve Jobs. Both versions are expected to be available this month.
The device runs the same version of Apple's OS X found in the iPhone, said Greg Joswiak, vice president of iPod products for Apple. Also, as with the iPhone, developers will have to settle for building Web applications to run in Safari on the iPod Touch, as Apple doesn't plan to open the new device up to application developers just yet.
The iPod Touch may pull some customers away from purchasing the iPhone--in that it's cheaper and doesn't require a two-year contract with AT&T--at the cost of being unable to make voice calls, of course. But Apple isn't that worried. "It's better than having to go to a competitor," Joswiak said.
Apple is also revising some of its previous iPods, including the regular iPod, the Nano and the Shuffle. Apple will offer a 160GB version of the regular iPod (now known as the iPod Classic), which is enough storage for 40,000 songs, according to Jobs. It is thinner than the regular iPod and has better battery life, enough to handle 40 hours of audio. That model will go for $349, and an 80GB version will now be $249, a price drop of $100. Those iPods will be available this weekend.