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Steve Jobs showcased the brand new and refreshed iPod line.

Steve started out first with iTunes Ringtones for 99 cents each in addition to the song. 50,000 songs will be available for ringtones. It will sync right up to your iPhone.

The iPod shuffle got Product RED color and new "holiday colors". They start shipping today.

The iPod nano was given a new form factor. Yep it's the stubby iPod pics we all saw previously!
The new iPod nano also has:
Video
Larger, brighter display
Cover Flow
Games
More Storage
Full metal enclosure
24 hours audio
5 hours video
Coverflow
incredibly thin!
4 GB $149
8GB$199

Then he introduced a new model of an old model. Yep. They took the old iPod and turned it into the iPod Classic. The Classic features a full metal design, even thinner than previous iPod, and the new enhanced UI.
80 GB version: 30 hours of audio, 6 hours video $249
160 GB version: 40 hours audio, 7 hours video. 40,000 songs in your pocket! $349
In stores this weekend.

Then the big one everyone's been waiting for: The iPod Touch~!
Featuring the same mult-touch user interface as the iPhone, a 3.5 inch wide screen, Wi-Fi, Safari, YouTube, Facebook, and more!
22 Hours Audio
5 Hours Video
8GB version $299
16 GB version $399
on sale in "just a few weeks". These will ship this month!

[photos from engadget.com]