If you do not need the "shebang" associated with compact audio systems, Princeton released for iPod fans of the PSP-312IPIR3 a compact speakers 2x6W that supports all iPods and, through a loudspeaker back as 3D surround sound.Its USB port on your iPOD keeps in sync with your iTunes library, and you can use your iPod cradle with a CD or MD with his line-in.
