Apple introduced iTunes 4.9 today and as expected, it features support for podcasts. From within the iTunes Music Store, you will be able to browse and subscribe to podcasts such as ABC News, Engadget, Newsweek and some 3000 others. Once you subscribe to a podcase, it will automatically download new episodes to your computer. You can then sync these to your iPod.
iTunes 4.9 is now available from Apple (but still missing on their Canadian web site).