Are video iPods coming soon?

The Wall Street Journal is dealing in Apple rumors again, apparently daring the fruity computer company to file suit. The rumors are juicy, too:
The Cupertino, Calif., computer and electronics company has recently held discussions with major recording companies, seeking to license music videos to sell through Apple Computer Inc.'s iTunes Music Store, according to several people in the media industry briefed on the discussions. The negotiations are a possible prelude to a version of Apple's hit iPod that would play video, a widely expected gadget that Apple has told some entertainment-industry executives that it could announce by September.
The plan may be to sell videos through the iTunes store for $1.99 each, but there's some question about whether the offerings will include only music videos or also other things, like episodes of TV shows or movies.
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