I also think my touch does pretty well for SQ. Has a little more background noise than I would like, but no worse than what I remember of the 5G. I bought it for some basic PDA functionality and got more than I hoped for, with a very good web browser and decent enough email client, so I would keep it even if it didn't sound all that great. But I do think it sounds at least as good as a 5G iPod.
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Computer: Apple iBook G4 --> Koss KSC-75 or Singlepower PPX3 --> AKG K271 Studio
Mobile: Apple iPod touch 8GB or Palm Centro --> Dual XDMA7715 car deck --> cheapie Jensen speakers (craptastic, but better than stock!)
d83.cc: My blog <> Me on MySpace
Keeping things simple for now <> Head-Fi member #3156 <> PRIDE: Be Yourself
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