I haven't heard the iPod with the Grado headphone amplifier you mention. However, you might want to reconsider buying the latest 160gb iPod. I was about to do the same thing, until I started reading a thread on amazon.com with numerous complaints about the sound quality of the latest iteration of the iPod. Apparently Apple changed out the DA converter in the latest version, and the result is less than stellar. I went ahead and bought a fifth generation 80gb model with the older DA converter.
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