I have the newest generation 40 gig iPod. It is very nice, and I get 10+ hours of playtime if I do not use the backlight or activate the hard drive all the time. The sound quality is excellent if you set the equalizer to your tastes and have high end headphones. I have the Shure E3's which are rather expensive, but I needed the canal type phones since I use it at work (a loud factory).
My neighbor has had 3 Creative Noamd Zen extras and I was debating for a long long time between the two, but as I was about to make a purchase, the new version of the iPod came out with the better battery life, which tipped the scales that way, since price was not the main issue.
The Nomad is a very nice product at the current pricing, but there are drawbacks of course. A quick comparison:
1) Battery life - the Nomad wins by about 2-3 hours. iPod has been about 10 for me, about 12.5 for my neighbor. (We both work at same job, 12 hour shifts.)
2) Build quaility - The Nomad is much cheaper feeling than the iPod. The wheel button feels far too delicate. The iPod is much heavier and more substantial feeling.
3) Warranty - iPod has one year warranty, Nomad has 90 days:tdown:
4) Interface - Ipod wins here as it is very easy to find what you want quickly. The Nomad has the same library search features as the iPod, but it takes longer and more navigation is required in general for all menus.
5) Sound quality - Proably a slight edge to the Nomad. The Nomad has a much more adjustable equalizer, you can set each frequency individually, as opposed to the iPod, which takes lots of experimenting to find a good all around preset EQ (No user customizable EQ's)
6) Software - iTunes is much better all around than Nomad explorer,and is a very very nice and powerful program. However, 3rd party software is avaialable for both which is generally better than either factory supplied software, but can be a bit expensive.
Overall, the Nomad is a very nice choice for the price, especially with all the great deals and rebates floating around. But you really NEED some kind of extended warranty with the Nomad. My neighbor had to return 2 different Nomads, one for a defective USB port, the other kept freezing up and the headphone jack was loose and sound would cut out. The 3rd one he bought has worked great for about 5 months now. I paid $360 for my iPod and feel it was woth the money, but the accessiories are way overpriced. If i had to do it over I would do the same. If my budget was smaller, than I would have no worries about getting the Nomad, as long as I bought some kind of warranty with it. If it breaks on the 91st day, you're screwed. it's well worth the price as long as the little drawbacks don't bother you that much:tup: