Apple Cuts IPhone Prices, Unveils New Line Of IPods

 Apple just delivered music lovers a double treat by dropping the price on the iPhone just as a new line of iPods prepare to hit the market.

Now that the frenzy has died down since its June release, the cost of Apple's iPhone has fallen significantly. When it landed in stores two months ago, the iPhone cost a whopping $599, but it's now available for only $399.

For the same price or less, music lovers can also purchase a new iPod Touch mp3 player. Available for $299 (8GB) or $399 (16 GB) iPod Touch has less memory than a regular iPod (80 or 160 GB) but adds many of the same features as the iPhone - motion sensors, a similar screen interface and Wi-Fi web browsing that will allow music purchases directly from Apple's iTunes store, instead of requiring users to download music on a computer and transfer it to the player.

While iPod Touch doesn't offer a phone, Apple and Starbucks have teamed to give Touch owners access to a very special iTunes service. Beginning October 2, New York Starbucks customers will be introduced to the new service, which displays the name of the song currently playing in that Starbucks store when an iPod Touch owner walks in. The customer can then purchase the song using the "buy" button on their iPod touch screen. Over time, the new iTunes service will roll out to Starbucks nationwide.

Apple is also planning to introduce a new $199 iPod Nano that is equipped to play movies and games.

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