SanDisk has launched its smallest USB 2.0 flash drive in North America. The paperclip-sized storage device weighs around the same as a penny and it can hold roughly as much data as your desktop PC from the late 90s. The Cruzer Blade ships in four capacities, including 2GB ($14.99), 4GB ($21.99), 8GB ($38.99), and 16GB ($77.99). Mind you, those are the company's recommended prices, but they're selling for much less at the moment. Amazon currently has the 16GB model listed at $31 with free shipping.
SanDisk designed the drive to give users an extremely compact way of keeping music, pictures, documents and other data on-hand at all times, allowing it to be accessed on various systems and devices throughout the day. Given its size, you'll probably lose it the first time you toss it in a bag or set it down on a messy desk, but there does appear to be a small hole to attach the Cruzer Blade to a key chain or cell phone dongle.
Update: As noted in the comments, there are even smaller flash drives available by other companies, which may or may not be available in North America. Tricky wording by SanDisk for sure.