Here is a nice iPod radio transmitter - iTrip. This device is very easy to use, but to be more precise in tuning it, you should park your car. The finest tuning requires accuracy. iTrip was tested on 5 different frequencies - the result was variable. Usually the sound was fine - in 90% of the tested frequencies; in others it was not so good. It really made no big difference whether the device was located - right next to the radio, in the seat, or in the bag, together with the books. It was also tested in some poor signal territories - there were some static moments, but shortly after they were gone.
This iPod Radio Transmitter was produced for a purpose of making an acceptable sound, but not for hi-end quality performance. When it is tuned to a correct frequency it makes a sound comparable to a good radio. If you turn the volume all the way up, you may hear a kind of fizz, but it will be unheard when you drive a car because of the engine and the tires sound. But tempted listeners with high quality stereo systems (those who've got expensive sound systems in the car) that are sensitive to every flaw, will fill a desire to add another input to their stereo to use their iPods in the best way.
Some negative features of the device might be noticed as well. iTrip has its own playlist, but it is stored as a part of the whole musical collection, which means that your mp3 files can interfere in a playlist when in shuffle mode. Secondly, the iTrip is powered from the iPod battery, which is a negative so a positive feature - at least you will not have to buy new set of triple A batteries every few days. Anyway, the device is fine in long journeys on a highway - so feel free to get yourself one.
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