The upgrade to the iPod Video and the long-rumored new iPhone have been announced…and they are the same device.

Hardware
*3.5″ widescreen touch sensitive display
*11.6 mm thin
*Onboard 2 megapixel camera
*Motion sensitive accelerometer, ambient light and proximity sensors
*Quad-band GSM with EDGE, WiFI, Bluetooth 2.0
*16 hr audio playback, 5 hr talk/video/other

Software offers a slew of handy features like 3-way conference calls, iChat-like multiple SMS sessions, Safari, Widgets, Google Maps, etc. Supposed to be shipping in June of this year, and pricing starts at $499.00