From the press release:
The new iPod combines all of the ground breaking features that have made the iPod the best music player in the world with revolutionary new features such as the ability to view video content on a larger stunning color display. The new iPod features Apple’s innovative Click Wheel for precise, one-handed navigation and the portable design is ideal for putting music, Podcasts, photos, audiobooks, home movies, music videos and popular television shows in a pocket for on-the-go viewing. iPod users can also watch their video content and slideshows of their photos on a television via optional Apple accessories.
Apple has also announced the release of iTunes 6, which is now available for download.