Yeah OK, you can get CD quality out from an iPod through the digital out from the dock but to do so you need to use a lossless codec like FLAC, ALAC, etc. Any lossless codec will give you about 50% compression. Just how much lossless music can you fit onto a little 32GB or 64GB after all the apps most people install on their iPod or iPhone. Most audiophiles even with a relatively small music collection would only be able to fit a small percentage of their collection. Most audiophiles that are looking into non-optical media players are considering using either HTPCs, SANs, or media players with large built-in hard drives and not storage deficient portable devices one's going to end up loosing some night at the bar.