In an announcement made earlier today, Apple revealed on its site that they now have 16GB iPhones for $499. Also available is a 32GB iPod Touch for the same price. No other changes have been made.

This upgrade has been long expected, but the 32GB Touch was a bit less expected. Many were hoping for a price cut on the 8GB model, but it didn’t happen. It is interesting that Apple chose to include a 32GB drive in the Touch but not the iPhone. This is probably due to short supply of the chips and because Apple wants to test them out before putting them in something as popular as the iPhone.

You can buy the new 16GB iPhone and the new 32GB iPod Touch right now on Apple’s site.