Aside from major product upgrades, Apple today also revealed an update to the iPod classic, announced iPhone Software 2.1, and made several remarks regarding the performance of the iTunes Store and iPod sales. iPod classic: Apple today updated its iPod classic line, removing both the 80GB and 160GB models and replacing them with a single, thin-bodied 120GB model, which will sell for $249. iPhone: Apple will release iPhone Software 2.1, which debuts…