Laptop next?

Has anyone else seen the new iPod nano? Or am I just slow? They are so small that it scares me. Check it out (better yet, go to the Apple website):

Front View (image hijacked from Apple)

Back View (image hijacked from Apple, again)

It has a built in touch display and a built in clip. It is like the size of an eyeshadow square. Your headphones would even be bigger than the iPod. What's next? A built in laptop the size of your fingernail? But if I didn't have an iPod, I'd totally get one just because it's cute.