For a complete recollection of the event, check out engadget’s minute by minute summary.

Apple’s media event this morning announced some big changes to their mp3 / cell phone line, specifically the iPod video, the iPod nano, the iPhone, and newly announced iPod touch. For people who were looking forward to the new apple lineup, they were not disappointed.
iPod Shuffle

No big changes or improvements, but several new colors, including a new addition to the (RED) product line.
iPod Nano

The initial images of the iPod Nano that were leaked onto the internet weren’t too far off the base. The new nano which Steve Jobs called “the fatty” comes in a full metal case, a 2-inch screen with QVGA resolution (the highest pixel density that Apple has ever made), video playback capabilities, and an improved battery life of 24 hours (5 for audio). On the UI, and software side of things the new iPod Nano comes bundled with three games, and has coverflow integration.
The best thing about the iPod Nano however is it’s price, $149 for the 4gb model, and $199 for the 8gb model. An actual price drop from the previous model!
iPod Video Classic

The iPod video has been renamed the iPod classic and the hard drive has been upgraded to 80gb, and 160gb versions. The battery life has also been improved; 30 hours on the 80gb version, and 40 hours on the 160gb version. Once again the best thing about the new iPods? The price: $249 for the 80gb version, and $349 for the 160gb versions.
iPod Touch

The next product was the much anticipated iPod with a touch screen interface like the iPhone. Well basically, it’s the iPhone without the phoning capabilities, and camera. It features a 3.5 inch widescreen display, wi-fi + sfari + youtube, a 22 hour battery life, and is incredibly only 8mm thick.
iPhone Price Drop

The next announcement got probably the loudest applause, the iPhone will now be priced at $399, almost a $200 price drop. As much as most people are going to be happy to hear this, it’s going to piss off a lot of people who bought their before August 5th.
More Announcements
Apple also announced the launching of their new music store available via Wi-Fi; iTunes Wi-Fi Music Store. To help promote this new store, they also partnered up with Starbucks to offer free acces to the iTunes Wi-Fi music store while at Starbucks.