Toyota has announced that they will be upgrading the batteries in their upcoming 09 and 2010 model year Prius hybrids.  Furthermore they will be upgrading the tiny 1.5 litre engine to the one currently used in the Camry, a 1.8 litre.

The new batteries will be made with nickel-metal hybride packs.  Everyone is still waiting around on the Lithium Ion on battery pack with plug-in capabilities.

Toyota Prius