Ok so I went out and bought one for myself. The pen is actually called a Pulse Smartpen. It comes in two sizes (memory). 1GB cost $149.00 and the 2GB cost $199.00at Target. The software that is used with it is called Livescribe.
My goal was to be able to solve math problems as I would at a whiteboard or Smartboard in front of class but have the ability to save my work go and back to it with a narration of what I am thinking at each particular step. I found the Smartboard record tool not up to the task. For some reason the audio could never be captured completely and the Smartboard lacked the precision I needed for some tasks. It seemed to always need to be realigned.
I hope to build a bank of worked out problems that students can access from any internet source at any time. I also want to train students to use the tool and have them contribute to the problem bank on a regular basis. So far the pen seems to be just what I was looking for.
Here is my second try at uploading a link to my "pencast". This time with audio attached. Please click on the link below to see it and let me know what you think.