We just received about 10 new iPods, 20 gig and 40 gig ones and most sold out even though no one knew they were available in the store. I played around with one, and I gotta admit....the smaller size isn't noticeable much, and the grey scroll wheel is ass ugly. The 3rd gen looks much cooler IMO. I was gonna dump my 3rd gen and go for a 4th gen, but I found out I don't get a discount on iPods...LAME. GO 3RD GENS!