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I just watched the product announcement videocast. The new 60GB video ipod is 12% smaller than the old 20GB standard ipod. I think they said the new 30GB video ipod is even smaller yet.
Some other things, it does support plain old MPEG-4 so you should be able to add your own home moves, import stuff from Archive.org video library, and I suspect it is just a matter of time that people will start selling their own videos productions in unencrypted format. So not everything is tied to the iTunes store. I think that is important.
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