The Verge Reports:

It may not be the focal point of the day's announcements, but Apple's not forgetting about its line of iPods. In addition to the new iPhone 5-inspired iPod touch, the company's also updated its cheaper line of portable music players at its event today in Yerba Buena. The new nano has a larger, 2.5-inch display, it's thinner and lighter, and has the new Lightning connector. It actually looks like a tiny iPhone, almost. There are physical playback controls along the side of the device, a nice addition from the touch-only operation on the previous nano. There's an FM tuner integrated, as well as Bluetooth, fitness features, and a pedometer. All are long-requested features, and make the nano more versatile than it's ever been.