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The Apple iPod nano (Fifth Generation/Video Camera) features an aluminum and glass case -- just like the iPod nano (4th Generation) that it replaced -- but the nine colors offered -- silver, black, purple, blue, green, yellow, orange, pink, and (PRODUCT) RED Special Edition -- have a "glossy", rather than matte, finish. It has a larger, higher-quality 2.2" TFT display (240x376, 204 ppi), and an integrated microphone and speaker as well.
For storage, it uses either 8 GB or 16 GB of flash memory, capable of supporting 2000 or 4000 songs, 7000 or 14,000 photos, and 8 hours or 16 hours of video, respectively.
Beyond the glossy finish, larger display, and audio capabilities, the iPod nano (5th Generation) also gains a video camera -- capable of shooting H.264 VGA 640x480 at 30 FPS with AAC audio (it cannot take still photographs) with a variety of basic real-time effects -- a built-in FM Radio with "live pause" (allowing one to pause and rewind up to fifteen minutes) and "iTunes tagging" (tag a song on the radio for later purchase on iTunes), an integrated pedometer that tracks steps and calories burned, VoiceOver technology -- previously introduced by the iPod shuffle (3rd Generation) -- to speak the name of tracks and artists to you, and "Genius Mixes", which makes an effort to "find songs that go great together".