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New iPod line goes back to basics and forward to the future.

image Prior to this week’s iPod announcement, it was a bit inconsistent that the midrange iPod nano could capture video (but not stills) and the high-end iPod touch could capture neither. With the new lineup, hough, the iPods’ capture capabilities have been rationalized. The iPod nano has no image or video capture capabilities whereas the iPod touch now has both – including high-definition video — even though the stills are of a lower resolution than those the iPhone 4 can capture. Of course, video capture is a better fit for the touch than the nano anyway. Not only can it now take advantage of the remarkable iMovie app, but video can be uploaded via Wi-Fi (which the nano lacks) and used by third-party developers.

Indeed, while the new nano boasts a novel and fun form factor, Apple’s new lineup has a sort of retro feel to it, with the shuffle reclaiming its buttons and the nano focusing more on music and a smaller screen. Why, the dock connector on the nano even returns to the center of its bottom, where it was on the third-generation nano. Both the shuffle and nano show that Apple thinks it’s hip to be square.

Paradoxically, the iPod touch, which looks most similar to its previous generation, really has an opportunity to spawn a whole new category of products – the consumer videoconferencing appliance. For less than $500 and a Wi-Fi connection, you can now set up a simple point-to-point videoconference, one that will be able to tie into more users as Apple enables FaceTime over 3G. Not only is the device now, more than ever, a contract-free smartphone, it’s a contract-free videophone.