Ananova:

Apple has launched a new version of the iPod which can play TV shows, short films and music videos.

The video-capable iPod, with its 2.5 inch screen, is one of three new products unveiled by the US technology giant.

Apple founder Steve Jobs also unveiled a new iMac G5 computer with a built-in video camera and an updated version of iTunes online music store that allows users to download music videos and TV shows.

The company has sealed a deal with Walt Disney, allowing fans to watch their favourite programmes such as Desperate Housewives and Lost while on the go.

The high-tech iPod update crams more storage and a bigger screen into a thinner package and will hit stores in America next week, Mr Jobs said.

The new gadget is 30% thinner and has 50% more storage than its predecessor.

It can stash up to 15,000 songs, 25,000 photos or more than 150 hours of video.

It is available in a 30 gigabyte model with a 14-hour battery for £171 and in 60 gigabytes with a 20-hours battery for £228.

"Because millions of people around the world will buy this new iPod to play music, it will quickly become the most popular portable video player in history," Mr Jobs said.