Turns out the rumors were true and Nintendo is in fact making a new DS just in time for the holidays. The DSi is getting a lot of new features right out of the PSP and iPhone playbooks.

First off, 2 digital cameras have been added to the device, one web camera style inside the machine and another on the outside of the device like on the iPhone. The DSi will also be capable of playing music just like the PSP. The device will have internal storage of an unknown capacity but more importantly is the new SD card slot on the side for storing all those pictures and mp3's. Pictures can be also be wirelessly synced with the Wii's Photo channel (nice to see some platform synergy).

Gameplay wise, the DSi gains slightly larger screens (3.25 inches) and loses the Gameboy Advance slot. Perhaps the biggest new feature however is the addition of an online application and downloadable games store. Apps and games will be sold on the same points scale as the Wii (2$ to 10$) with some apps being free. All DSi's sold before 2010 will be bundled with 1000 (10$) points.

It isn't revolutionary but this makes an already super popular device an even better buy. The camera and mp3 player I could care less about but larger screens and an online game store are very tempting. If only I hadn't bought a DS this past summer.