A couple of teardown pages so far. This Japanese page offers the best photos.
I was expecting a higher level of integration. This reminds me of a mini ... (not that it matters, apparently people feel the unit works very well)
It is no secret that Apple has a great deal with Samsung on flash memory based on huge volumes. Now some Korean companies are complaining. (earlier in the year some of these companies claimed that buying Korean mp3 players was patriotic) Unless you have access to great deals like Apple's, it is going to be very difficult to compete on price. Unless you are Apple it is going to be very difficult to compete on image. If Apple can deliver in the volume the Nano will inspire it seems likely they will own the middle market. Several people I know who already have iPods are thinking of a Nano as a second.