Yes, it is true. I've already started buying more albums because of the empeg (and of course the record companies are scared of mp3!, oh the irony). As far as a spacing not being random, of course thats true, but neither are the new shuffle modes either. What I am thinking of is more like you hear on the radio where you usually don't hear songs by the same artist together, but MY radio would only have my music that I like.
I was just thinking it wouldn't be too hard to factor a tag in before a new shuffle order was created. You could specify "Don't play songs that have the same (artist) tag within (4) songs". You could do this with others tags (such as a "tempo" field to get a good mix of tunes, that is not truly random, but is not the same every time you listen either. Of course, you have the problem at the end of the list where all you have left is Rush, but at this point it would be time to reshuffle.
Anyway this is just the only thing on my wish list: The empeg is by far the coolest thing I have ever bought! If nothing changed from this point on, I would be happy as a clam.