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Here's an interesting new product that will make your iPod more compatible with an entry-level high end audio system. I use my iPod mostly in the car, which has an iPod controller built into the factory-installed radio. The music on my iPod is all downloaded from CD's in the Apple lossless file format, which is indistinguishable from a CD when heard through the car system. I've tried the iPod with my home audio system using a dedicated cable that takes the analog signal from the USB connector. This is supposed to be better than the signal from the earbud jack, which is further degraded by the analog output stage and volume control, but it's still an unacceptably low quality signal compared to the sound of the same CD track playing on my Cambridge 840C CD player. According to everything I've read about the iPod, the internal DAC is comparable to the one you would find in a $60 mass market DVD player - not terrible, but definitely lacking in the attributes that qualify a system for "high end" status. This shouldn't surprise anybody, because the iPod was developed with a mass market target audience, and the sound quality is more than adequate for that audience. Another option would be the Wadia iDock, which takes the digital signal from the USB connector and has both analog and digital outputs. If you have a high quality external DAC this might be the better choice, but it sells for twice as much. It seems to me for only $200 the iStreamer would be a no brainer for anybody who listens to their iPod through a good quality system. Here's the link to a review: http://www.avguide.com/review/high-resolution-technologies-istreamer-dac-playback-40?src=Playback