There is a problem on the 2G iPod touch with apple lossless files. The sound hiccups during the playback, as if it stops for a moment then resumes again. This is common issue, it happens on all 2nd generation ipod Touch. Replacing ipod won't fix this issue. It only happens when playing files in Apple lossless format after the screen goes off. If you have 2nd generation and you listen in lossless format you should have experienced it. Please call Support and have them document this issue and assign case number. Support told me that they will only start looking into this after they get enough complaints. For now it is immaterial. You can refer to my case number: 113510055.