What I mean by the iPod being killed is that there are plenty of other players on the market that offer infinitely more. They just aren't as cool looking. The Creative ZVM is better in every way as far as I can tell. And they just came out with a 60 gigger. The Gigabeat also looks very promising.
I'd look into the iRiver Clix for an alternative to the Nano. And if you're on a budget, you can get the Isignia Amigo 2GB for 99 bucks. The Creative Zen Plus looks promising. Although, none of these are as small as the Nano.
But the
Meizu M6 looks absolutely ****ing fantastic as an iPod Nano alternative.