Apple has sold some 225 million iPods to date, making it one of the most popular electronic devices ever. And it’s sure to sell even more after the updates the company announced at this morning’s event. Among them: Larger, cheaper iPod touches and nanos with cameras and FM radios.

Following introductory remarks by Apple (AAPL) CEO Steve Jobs, Phil Schiller offers details, noting that “the iPod has 73.8 percent market share. The next biggest category is ‘other,’ and after that, SanDisk and then Microsoft pulling up the rear.”

Schiller adds that Apple has sold 20 million iPod touches since the device debuted. He runs through a lengthy sales pitch for the iPod touch, touting it as a killer pocket computer and taking potshots at rivals like Dell (DELL) along the way.

Moving on to games, Schiller notes the discrepancy between the number of games on gaming platforms like the Nintendo DS and the iPod touch. The iPhone OS, he notes, has 21,178 games. The DS has just 3,680. Point taken.

Moving on to some new game demos now. First up: Ubisoft with Assassin’s Creed 2, which, we are told, is “all about visceral combat, brutal hand-to-hand combat and one-shot kills.” Behind the presenter, a warrior is mercilessly beaten into submission.

Schiller returns to the stage, “Boy, that looks like fun.”

Tapulous, the developer of Tap Tap Revenge, and Gameloft, follow, both introducing new games. Gameloft’s Nova–a first-person shooter with multiplayer option–seems a far more compelling effort than Tapulous’s Riddim Ribbon, which appears to be a Black Eyed Peas-heavy variation of Tap-Tap.

Up next, Electronic Arts, which is apparently headlining the games section of today’s event. EA’s Travis Boatman takes the stage to introduce Madden NFL 10. The game boasts both custom-kick and draw-a-play-on-screen features developed specifically for the iPhone OS. Madden NFL 10 is available today.

Schiller again returns to the stage. “The iPod touch is the most affordable gateway to the App Store,” he says, adding that $199 is a “magic price point” in the iPod market.

With that, he announces the iPod touch price cuts we heard about earlier this morning: An 8GB model for $199, 32GB for $299, and 64GB for $399. All three devices are significantly faster, says Schiller. Interestingly, none seem to feature that rumored camera.

Price drops as well for the nano, but we knew about these. Apple has dropped the price of the iPod shuffle as well: $59 and $79. And the company is offering them in a new selection of colors. Plus, there’s a special edition of the shuffle crafted from stainless steel.

Steve Jobs returns to the stage. So those are the iPods, but there is one more thing: A video camera. He talks about the exploding video market, mentions the Flip, etc. “We want to get in on this market as well and we’re doing it for free….Boy, this really is the new Apple,” he quips.

Yes, the iPod nano does indeed now feature a video camera. The video quality looks impressive. Whoa: Apple has also added FM radio, a voice recorder and a pedometer to the nano. New polished anodized aluminum colors. 8GB model for $149, 16GB model for $179.

After a few concluding remarks about the new iPod lineup, Jobs announces what has become an annual tradition at these events: A live performance. Today’s artist: Norah Jones.

The end of her set concludes today’s event. No iPlatform. No Beatles on iTunes. But lots of product refreshes, software intros, and price cuts. Plus: Steve Jobs is definitely back.

Live from Apple’s “Let’s Rock” Event

• iPod Updates, Games, Nano Video Cameras
• iTunes 9, iTunes LP, Home Sharing, Genius Mixes
• Steve Jobs: “I’m Vertical, Back at Apple and Loving Every Day of It”
• Event Photos by Adam Tow

Apple has sold some 225 million iPods to date, making it one of the most popular electronic devices ever. And it’s sure to sell even more after the updates the company announced at this morning’s event. Among them: Larger, cheaper iPod touches and nanos with cameras and FM radios.

Following introductory remarks by Apple (AAPL) CEO Steve Jobs, Phil Schiller offers details, noting that “the iPod has 73.8 percent market share. The next biggest category is ‘other,’ and after that, SanDisk and then Microsoft pulling up the rear.”

Schiller adds that Apple has sold 20 million iPod touches since the device debuted. He runs through a lengthy sales pitch for the iPod touch, touting it as a killer pocket computer and taking potshots at rivals like Dell (DELL) along the way.

Moving on to games, Schiller notes the discrepancy between the number of games on gaming platforms like the Nintendo DS and the iPod touch. The iPhone OS, he notes, has 21,178 games. The DS has just 3,680. Point taken.

Moving on to some new game demos now. First up: Ubisoft with Assassin’s Creed 2, which, we are told, is “all about visceral combat, brutal hand-to-hand combat and one-shot kills.” Behind the presenter, a warrior is mercilessly beaten into submission.

Schiller returns to the stage, “Boy, that looks like fun.”

Tapulous, the developer of Tap Tap Revenge, and Gameloft, follow, both introducing new games. Gameloft’s Nova–a first-person shooter with multiplayer option–seems a far more compelling effort than Tapulous’s Riddim Ribbon, which appears to be a Black Eyed Peas-heavy variation of Tap-Tap.

Up next, Electronic Arts, which is apparently headlining the games section of today’s event. EA’s Travis Boatman takes the stage to introduce Madden NFL 10. The game boasts both custom-kick and draw-a-play-on-screen features developed specifically for the iPhone OS. Madden NFL 10 is available today.

Schiller again returns to the stage. “The iPod touch is the most affordable gateway to the App Store,” he says, adding that $199 is a “magic price point” in the iPod market.

With that, he announces the iPod touch price cuts we heard about earlier this morning: An 8GB model for $199, 32GB for $299, and 64GB for $399. All three devices are significantly faster, says Schiller. Interestingly, none seem to feature that rumored camera.

Price drops as well for the nano, but we knew about these. Apple has dropped the price of the iPod shuffle as well: $59 and $79. And the company is offering them in a new selection of colors. Plus, there’s a special edition of the shuffle crafted from stainless steel.

Steve Jobs returns to the stage. So those are the iPods, but there is one more thing: A video camera. He talks about the exploding video market, mentions the Flip, etc. “We want to get in on this market as well and we’re doing it for free….Boy, this really is the new Apple,” he quips.

Yes, the iPod nano does indeed now feature a video camera. The video quality looks impressive. Whoa: Apple has also added FM radio, a voice recorder and a pedometer to the nano. New polished anodized aluminum colors. 8GB model for $149, 16GB model for $179.

After a few concluding remarks about the new iPod lineup, Jobs announces what has become an annual tradition at these events: A live performance. Today’s artist: Norah Jones.

The end of her set concludes today’s event. No iPlatform. No Beatles on iTunes. But lots of product refreshes, software intros, and price cuts. Plus: Steve Jobs is definitely back.

Live from Apple’s “Let’s Rock” Event

• iPod Updates, Games, Nano Video Cameras
• iTunes 9, iTunes LP, Home Sharing, Genius Mixes
• Steve Jobs: “I’m Vertical, Back at Apple and Loving Every Day of It”
• Event Photos by Adam Tow

Once $399, Apple’s (AAPL) 32GB iPod touch is now $279. Once $299, the 16GB iPod touch is now $249. And the price of the 8GB model has fallen from $229 to $189. The price of the 16GB nano is now $149, down from $189, and the price of its 8GB sibling is $129, down from $149. Finally, the price of the iPod classic, which is apparently not quite EOL yet, has been cut to $229 from $249.

I know that “The Daily Show” host Jon Stewart does not need even more praise for his spot-on comic and very real jabs at the CNBC financial cable network and its milquetoast coverage of the financial crisis, pre and post.

The silliness that prevails too much over doing serious and rigorous reporting that Stewart takes perfect aim at is a major problem.

Taking CEO spinning at face value and letting them yammer on on air without being challenged much at all has always been excruciating to watch at best and woefully irresponsible at worst.

But, to my mind, the most important thing that he elicited out of CNBC’s most famous stock jester, Jim Cramer, was the part of the interview discussing using the malleable press to float fictional rumors about companies in order to make money on the negative news.

While Cramer at first tried to deny he did it, Stewart had the videotape of the “Mad Money” host talking about the practice, specifically in regard to Apple (AAPL).

His appalling idea to make a quick buck? Making it up that the mobile carriers did not like the iPhone right before Macworld, in this case in 2006.

“And this is very easy because the people who write about Apple want that story, and you can claim that it’s credible because you spoke to someone at Apple, because Apple doesn’t…comment,” said Cramer cavalierly, as if he was not talking about a way to essentially steal other people’s money and hurt Apple unfairly, to interviewer Aaron Task, then at Cramer’s own TheStreet.com.

“So it’s really an ideal short. And again if I were short Apple, I’d pick up the phone and I’d do that today.“

Bernie Madoff would be so proud, if he wasn’t otherwise imprisoned for life!

Kind of puts all those Steve-Jobs-Is-Dead-Right-Now rumors of a few months ago into a new light?

It’s been obvious that the legendary Apple CEO has been quite ill from his appearance alone.

But, as BoomTown has always maintained, the rumors written without any serious reporting about him were also a troublesome issue because it was that clear short-sellers played a large part in stoking the fear about his imminent demise, given how important Jobs has been to Apple.

(Although, this has not seemed to stop Apple from releasing a lot of really cool stuff of late, like the new Shuffle, which Walt Mossberg reviewed here.)

While Apple has not been adequately forthcoming, either, about the Jobs situation, that does not mean the press–as Stewart correctly points out–should not try to actually do its job and dig for what is really going on rather than just slap up unsubstantiated blather.

“It’s not a f@#*ing game,” said Stewart perfectly. Indeed not.

You can see Cramer cynically discussing the Apple stock manipulation tricks at the 6:45-minute mark of Part 2, but here is the entire Stewart well-deserved roasting of Cramer in three parts.

(And at the bottom is the Task interview with Cramer too.)

Part 1:

Part 2:

Part 3:

TheStreet.com Interview:

Which makes it not just good public relations, but a shrewd effort to drive more business at Apple’s stores as well. Because many of those $100 credits (which cannot be used on iTunes) will likely be used toward the purchase of products costing more than $100. And those that are used on products costing less probably have higher margins.

“If they spend less than $100, they get less out of the credit,” Ezra Gottheil, an analyst at Technology Business Research, told PC World earlier this week. “I suspect some of Apple’s lowest-price items, like the Shuffle and accessories-like cases, have much higher margins than say, the MacBook. And if they spend more than $100 [at the store], Apple is getting the profit on the purchase beyond $100. Long term, this is a big win for them. With the unqualified apology enhancing the effect of respecting the customers, it’s well worth [the $25 million]. It may be the best screw-up since ‘New Coke.’ “

Which makes it not just good public relations, but a shrewd effort to drive more business at Apple’s stores as well. Because many of those $100 credits (which cannot be used on iTunes) will likely be used toward the purchase of products costing more than $100. And those that are used on products costing less probably have higher margins.

“If they spend less than $100, they get less out of the credit,” Ezra Gottheil, an analyst at Technology Business Research, told PC World earlier this week. “I suspect some of Apple’s lowest-price items, like the Shuffle and accessories-like cases, have much higher margins than say, the MacBook. And if they spend more than $100 [at the store], Apple is getting the profit on the purchase beyond $100. Long term, this is a big win for them. With the unqualified apology enhancing the effect of respecting the customers, it’s well worth [the $25 million]. It may be the best screw-up since ‘New Coke.’ “