I have an RCA Lyra for when I run. It's cheap, it holds about 60 songs and is perfect for working out.

However, an iPod isn't just something you have to just sit around and listen to. For 40 bucks, or less on ebay, you can get an adapter that plays it with perfect quality to any FM frequency around you, thus eliminating the need for a CD ever again, be it in your car or in your house. Or if you don't like that, you can just get a cable that hooks it into a receiver and for all intensive purposes you have a stereo, all within your IPOD. I have 300 CD's because I love to buy music, and now I don't ever have to carry them around again. I just put them on my IPOD and I'm good to go.

And if you have a Photo, then you can do slideshows and stuff on your TV or computer while playing music. Sure, I have no reason to do that, it's just cool to be able to do it if I wanted to.