Apple this morning announced an update to its iMac line. The latest version of the popular all-in-one system includes new Intel Core 2 Duo processors with 6MB L2 cache and 1066-MHz front-side bus, a standard 2GB of memory on most models, and the most powerful graphics yet available on the system. The top of the line units feature a 3.06-GHz Intel processor and NVIDIA GeForce 8800 GS graphics.

The system features a slew of other features, including built-in AirPort Extreme 802.11n Wi-Fi, Bluetooth 2.1+EDR, Gigabit Ethernet, an iSight video camera, USB 2.0 ports, and a FireWire 400 and FireWire 800 port. On the software side of the equation, each new iMac ships with the iLife suite and OS 10.5 Leopard. Prices start at $1,199 for the 20-inch 2.4 GHz iMac. The 20-inch 2.66 GHz iMac will go for $1,499, and the 24-inch 2.8 GHz iMac for $1,799. [corrected pricing]

"The iMac's gorgeous aluminum and glass all-in-one design has been an incredible hit with our customers and is just one of the reasons Mac sales are growing three and a half times faster than PC sales," Philip Schiller, the company's senior vice president of worldwide product marketing, said in a statement. "With the latest Intel processors, a faster new graphics option and more memory, customers now have even more reasons to love the iMac."

Apple is also touting the new iMac's environmental friendliness. The system is composed of "highly recyclable and durable materials including scratch-resistant glass and professional grade aluminum," Apple said. Each entry into the line is rated EPEAT Silver and meets Energy Star's new 4.0 power consumption requirements. The company is also offering free recycling of old Macs and PCs, with their Apple Recycling program.

The new models are available now through Apple's retail and online stores.