This just in, it looks like Apple has decided to increase the capacity of two of their hottest products, the iPhone and the iPod Touch. That makes the iPhone available in two varieties, 8 gb for $399 and 16GB for $499. The iPod Touch is now available at up to 32GB for $499 or as little as 8GB for $299 with the middle ground being taken by the 16GB iPod Touch for $399.

 I think these new release make a ton of sense when you are getting double the capacity for a modest increase in price. 

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