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New iPod Touch with iOS 4, Retina Display, and Game Center revealed

During today's Apple event, Steve Jobs claimed that the iPod Touch was outselling the PSP and DS combined, and revealed a new version of the popular device modeled after the iPhone 4. The new iPod Touch has all the gaming capabilities of the phone, without the AT&T contract: iOS 4.1 with Game Center is a big deal, and Apple's crammed an A4 chip into the new iPod Touch along wit a 3-axis gyroscope, plus upgraded the screen with Retina Display. The redesign even features a front-facing camera.

The new iPod Touch will be available next week in an 8GB model for $229, a 32 GB model for $299 and a 64GB model for $399. You can pre-order it now.