CNet has reviewed Cowon iAudio T2 which comes in 512MB, 1GB or 2GB flash capacities. It has a OLED screen with 65K color, FM tuner, 12 Hours battery life and best of all is very small, measures 1.14" x 2.0" x 0.53" and weighs 0.86 oz. Audio output is really good and CNet verdict says it, " Mac and Windows users in need of a small, music-centric MP3 player with great sound quality and an FM tuner will be pleased by the Cowon iAudio T2." Its 2Gb version costs $149.00 only. Let see what Apple has up its sleeve on 12th of this month.
You can read the review here: