“Apple will at last unveil a touch-screen iPod with a 3.5-inch display at its media event Wednesday, sources have confirmed,” Think Secret reports.

“The new iPod will feature similar dimensions to Apple’s iPhone with which it will share the same display, but sources except [sic] the iPod to continue to sport a hard drive in place of Flash memory,” Think Secret reports.

“Apple’s new iPod nano, meanwhile, will gain much of the same functionality as Apple’s current 5.5G iPod, including video playback and a higher resolution 320×240 pixel display. The nano will remain Flash-based, with capacities expected to top out at 12GB or 16GB,” Think Secret reports.

Full article, with screenshots of the UI, here.

[Thanks to MacDailyNews Reader "Winston" for the heads up.]