It’s an immutable law of nature… As time passes, iPods get bigger in capacity, smaller in physical size, better in features, and (usually) cheaper. The new 3d generation iPod shuffle (iPod shuffle 3G hereafter) is all of that and more. Or less.

For perspective, here’s some history: The first iPod shuffle (2005) was smaller and lighter than a pack of gum, and came in $99 (512MB) or $149 (1GB) models that held 120 or 240 songs respectively. It was all-white plastic and had a neck lanyard.

The second-generation (2006) iPod shuffle was half the size of the first and provided 1GB of storage for $79. It was made from silver aluminum and an integrated clip replaced the lanyard.

In 2007 the second-generation iPod shuffle became available in 5 vibrant colors, still with 1GB of storage for $79.

In 2008 the size, shape, and colors were unchanged but the price dropped from $79 to $49 for 1GB and a 2GB model was introduced for $69.

The new third generation iPod shuffle, introduced last week, is half the size of its predecessor — noticeably smaller than an AA battery. It’s made of aluminum, has a built-in clip, and is available in either black or silver. With 4GB of storage it holds up to 1,000 songs for $79.

Do you remember back In 2005 there was a Saturday Night Live parody with a fake Steve Jobs introducing the miniscule iPod micro, which was made obsolete a few seconds later by the even smaller iPod picanyo, which, seconds later, was superceded by the iPod invisa, an iPod so small it couldn't be seen with the naked eye.

You can watch the sketch here: SNL little iPod parody 

That's what it was like when I showed the shuffle 3G to my teenage son and a couple of his friends... I held it in front of them and asked, "know what this is?" They all looked at it and shook their head. I told 'em it was the new iPod... "Nuh huh. No way." I assured them it was and showed them how it worked. One of them replied, "No way... that's sick."

I'm not sure I would call it that but it's incredibly cool.

Unlike earlier models this iPod shuffle has no buttons on it. Rather, its controls are located on the right earbud cable, which makes them easier to use without unclipping the iPod from your clothing.

But the coolest new feature is that this iPod talks to you. Just push a button and your iPod shuffle tells you the song title or artist name, or recites the names of your playlists. It even tells you when its battery is running low.

Since one distinguishing feature of the iPod shuffle since time immemorial (or at least since 2005) has been its lack of a screen, this new feature, officially known as, “VoiceOver,” is a welcome and ingenious touch.

I have but one gripe: Because the controls are integrated in the earbud cable you are stuck using Apple’s earphones, which, as you probably know, I find mediocre sounding and more than a little uncomfortable. While I really like the iPod shuffle 3G's size, durability, controls-on-the-earbud-cable, and VoiceOver feature, I really dislike being forced to wear the Apple earbuds. Within a few minutes of inserting them they either fall out, begin to hurt my ears, or both.

The good news is that third parties including Klipsch and Scosche have announced earphones with controls for this iPod shuffle and/or adapters that will allow you to use your favorite earphones. The bad news is that none are available yet and when they are, they’re going to cost extra.

The Bottom Line

Aside from the earbud thing, the new iPod shuffle is gorgeous, sounds fantastic, and its unique new VoiceOver feature makes it the best shuffle yet. If you're among the many who don't mind the Apple earbuds, or you don't mind spending a few dollars more for a third party adapter or headset when they arrive, I recommend it without hesitation.