The main event for iPod fans, Apple have upgraded the iPod Touch to fall into line with the iPhone 4.  Announced by Steve Jobs on stage, he stated that the current iPod Touch has become the number one portable games machine in the world, beating the Nintendo DS and the Sony PSP.

The latest generation is a super-slim touchscreen with a very similar look to the iPhone 4, but that’s not where the similarity ends, as it will also feature the Retina Display, the A4 processor, a rear camera with HD video recording and a front-facing camera for FaceTime.

It will run iOS 4.1 and come with Game Center, and the battery will return 40 hours of music playback.  Just like all the other new iPod models, it’s available for pre-order now and will be in shops next week.

The 8GB model will retail for $229, the 16GB for $299 and the 64GB for $399.