MacRumors.com

Apple announced today that the iPod and iPod Photo lines were merging creatine a single line of white iPods that all feature a color display with the ability to view album artwork, photos and play slideshows.

The simplified iPod lineup features a 20GB model, holding up to 5,000 songs priced at just $299 and a 60GB model, holding up to 15,000 songs priced at $399. Also starting today, iPods will offer an easy to use Podcast menu, including bookmarking within a Podcast and the ability to display Podcast artwork in color.

The announcement comes alongside the iTunes 4.9 update released yesterday.

[Update] iPod Updater 2005-06-26 is now in Software Update. New feature: "Integration with iTunes 4.9 for downloading and listening to podcasts." The update delivers iPod Software 1.2 for iPod with color display, iPod mini Software 1.4 for iPod mini and iPod Software 3.1 for iPod with Click Wheel.