Ipod Dock with direct out?????

Sure the iPod is portable, but not when you add the Wadia dock, amp & speakers and so on.

Why does it no longer become portable? You just pull it off the iTransport, plug in your headphones and away you go!

I admit I am not knowledgeable off all the other ways, but this is a very easy way to have a music server based system, one you can take with you to boot.

As for money, I don't know what that setup you suggest costs, but the iTransport and an iPod seems reasonable to me.

I am using an optical cable to send the digital signal to my Anthem D2. I programmed my Universal Remote to control the Apple TV and it works flawlessly.

I do have a wireless N router and I have it connected that way at the moment, but when I synced the Apple TV with iTunes I used an Ethernet cable. I much preferred the sound of the music with the files stored on the Apple TV hard drive as opposed to streaming them from the computer.

I am using my display to navigate the Apple TV but I am thinking of buying a separate small monitor to sit under the display so that it will project less light into the room when I am listening at night.

One thing I believe would be quite interesting would be a mod to the Apple TV to allow it to connect to a word clock. This would clean up the digital jitter issues.

Good luck!

>>This all seems like an awful lot of money and trouble to end up with something that a good music server could do for a lot less money.

I guess it depends on your situation. I WAS using a SB3 but with the iTransport I can have a high end, 160 GB music server in my main system with a high end DAC. I can also unplug this from the iTransport and listen in my car. I can also listen anywhere with my headphones. Lastly, I have a system in my backyard by my pool with outdoor speakers. I plug the ipod in and it sounds amazing. The iTransport allows me to consolidate my portable music library while also providing high end sound in my main rig. WIN WIN.

"Why does it no longer become portable? You just pull it off the iTransport, plug in your headphones and away you go!"
I realise that - I have a Nano for portable listening at work etc, where sound quality isn't critical.
I suppose you only have to rip everything once if you use the iPod for portable and home listening, but some of the comments above make it sound like a lot of headaches to get it right.
That's why a music server that can rip and burn CD's, store heaps on it's HDD, play various file formats and link wirelessly to your computer sounds so convenient to my not-so-informed mind.
But at the end of the day it comes down to personal choice; I still like CD's at home with their little booklets!

some of the comments above make it sound like a lot of headaches to get it right.

I don't see where it would be any different than the way you load your Nano; obviously for higher quality you would chose Apple Lossless, WAV, etc., which I assume you don't use. No headaches, very straightforward, especially if you use the SYNC option on the iTunes/iPod.