Mine is so screwy too. Have a 160g classic as well and. Sometimes it won't even register that it is connected. Other times it will show connected, let me look at my playlists and songs but when I try to play one it doesn't work.
Bluetooth through my phone works great, but getting pretty fed up with the ipod through usb. It has been this way since I took possession of the car.
Any pointers would be nice.
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