Having researched by purchase extensively, I am at a loss when reading negative comparisons in terms of the i-pod's sound quality relative to its man competitors.
I spent around a month demo-ing which DAP to spend my hard-earned cash on, and in the process heard the best of the rest...models from Sony, Creative, i-river, Toshiba, etc...
Based on the sound performance and sound performance alone (using my Etymotic ER-4P earphones), the i-pod would still have been my number one choice, although not by much. The Sony and Tosh were on a par, although the songs ripped using Apple's lossless encoder were, (unsurprisingly), simply superior, and with an 80gb drive, the capacity is enough to store around 300 albums...more than I own anyway.
The sound quality achievable by this thing absolutely amazed me. STREETS ahead of most of its competitors....clarity, tone, dynamics were positively analog in their presentation...a true pierce of hi-fi...not a claim that can be made by any of the others.
The fact that itunes is also the best, most user-friendly piece of software is an added bones.
If you really need a Swiss Army knife of a player, then the i-pod s not for you. This is not by any stretch the most feature-rich player, it has to be said.
However, if you, like me, simply want a portable version of your CD collection, with a strong emphasis on sound quality....then the i-pod is the ONLY choice.