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Personally I'm looking at the 160GB Archos 504. Too much money at the moment, though.

And, despite what it says on the tin, not gapless.

One more thing on that thread: the last post was over a week ago. I wonder why he gave up so quickly (maybe he returned it before his seven days were up?). I will say that it looks like he was using firmware that is now out of date. Apparently there have been as many as five updates since his last post, though none of them mention problems with gapless.
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Matt