Language lab on the cheap?

Say you were interested in building a language lab for your school but you couldn't invest more than say a couple of thousand dollars. No special room, no specialized equipment. How would you do it?

iPods and recorders? Open source software? Garageband? I'm curious, let's gather some ideas.

Update later in the day:
So I played around a bit with GarageBand and I found it laughably easy to make one vocal track with say the correct pronunciation of a word repeated 10 times and a second track under it for me to repeat it again and again as a learner.

The audio wasn't even that bad on the built in mic on my Macbook Pro. If I was the teacher I could post the master GarageBand file on my class wiki and ask students to download it in class. Then they could share their work to iTunes and save it to their media players to listen to - or email it back to me to evaluate their work.

So what do comercial packages do other than this? Maybe they have a bunch of pre-recorded masters connected to a particular text book?