More Powerful iPhone, iPod Touch Unveiled

Apple Inc. updated its iPhone and iPod Touch lineup Tuesday, doubling the memory and setting a new premium price for its high-end models.

The latest iPhone features 16 gigabytes of memory and retails for $499. The previously released 8 GB version of the hybrid cell phone, multimedia player and wireless Internet device costs $399.

The new iPod Touch comes with 32 GB of memory and retails for $499. The older 16 GB and 8 GB versions of the combination multimedia player wireless Internet gadget cost $399 and $299, respectively.

The new devices are available through Apple's online and retail stores. The updated iPhone is also available through AT&T Inc.'s online and retail stores.

Apple said that all iPhone and iPod Touch models come with updated software that the company announced in January. It includes a new maps application and the ability to watch movies from the iTunes movie rental service.

Apple shares fell $2.29, or 1.7 percent, to $129.36 Tuesday.