Steve Jobs announced Apple iPod Nano on the 7th September 2005.

Quote:

Take everything you love about iPod and shrink it. Now shrink it again. With 2GB (500 songs) and 4GB (1,000 songs) models starting at $199, the pencil-thin iPod nano packs the entire iPod experience into an impossibly small design. So small, it will take your music places you never dreamed of.

Specifications
» 2GB (500 songs) or 4GB (1,000 songs)
» Up to 14 hours of music playback; up to 4 hours of slideshows with music
» 1.5-inch (diagonal) color LCD with LED backlight
» Dock connector, stereo minijack
» USB through Dock connector
» About 3 hours (1.5-hour fast charge to 80% capacity)
» 9cm x 4cm x 0.7cm
» 42 grams
» Earbud headphones, USB cable, Dock adapter

Official Apple iPod Nano Site.