Apple is at work on a new iPod nano design that will abandon the square, watch-like shape used in the past couple of years, according to Macotakara. The Japanese site quotes a "reliable Chinese source," who indicates that the new Nano will switch to rectangular format similar to the iPhone and iPod touch. This includes the addition of a Home button; the claims are based on the source's access to a leaked case including a hole in the right spot for a Home button.
