Apple is preparing to release a brand new iPod that is basically one huge screen (and by huge, I mean 3.5'' wide). The circular touch pad we are all familiar with will now be part of the touch screen. The last iPods released by Apple had video capacities and this new version presumably allows for larger, improved visuals. Apple hasn't publicized any information on when they are releasing this sleek new iPod, but people are guessing late March or April.
Check out this article by Think Secret for more information.
And check out these pics of the new iPod:

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