Apple Announce New iPod Specs

At today's Let's Rock Apple event in SF, Steve Jobs announced some changes to their market dominating iPod line.

The 160gb iPod classic is binned, replaced by the smaller capacity but slimmer shape 120gb model.
The iPod Nano is changing shape, back to it's previous long shape with a nifty interface (which changes depending on which way you hold it, iPhone style)
The iPod Touch gets an integrated speaker and a price cut.
There's also a new version of iTunes on the way with loads of clever predictive features.

Cool new features or further market cornering monopoly?