Apple will cut prices and add colour screens to all full-size iPods, the company announced today.

Both 20 GB and 60 GB models will feature a 65,536 colour 220×176 pixel display, letting users see photos and album art on their iPod.

The special edition U2 iPod will also feature a colour screen.

Apple’s announcement comes days after the launch of Gigabeat – Toshiba’s portabable media pleyer. Featuring a large 2.2-inch colour screen for displaying pictures and text. Gigabeat players are slightly pricier than iPods.

Toshiba currently supplies Apple with hard disks for the iPod.

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