Does anybody know if the CLASSIC that's sold in stores now (version 7, I believe) is fully compatible with the NAV unit or is it also spotty like the 3rd Gen Touch and newer iPods/iPhones?
The classic is pretty expensive. I was thinking about hitting up EBAY for an older, cheaper version but I don't wanna drop the cash if it's still going to cut out. The flash drive is not a perfect solution as playlists can only have a maximum of 200 songs and for most DRM-files purchased through iTunes you can't transfer that to a thumb drive (and I'd rather not go to the trouble of burning them on CD or finding software that'll convert protected AAC files to mp3's without loss in quality).
I noticed that in the PDF of compatible iPods, the iPod touch (3rd gen) is NOT included, so it's no surprise that the performance has been "spotty."