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I have a nexus one with a 16gb microsd card in it. There isnt enough room for all my flac files.

I have 4 options as I see it:

1) Get a 32gb microsd card. i'm reluctant to do so because of the tmobile/att merger. It may make my phone completely useless in a couple years' time, and I dont want to buy a 32gb card if phones that are out by then have that much memory built in.

2) Get the clip+ 8gb. that may keep me going for a while but I've also only managed to get flac files of half of my total collection, so this would be a short lived (if not cheaper) option

3) get the 16gb fuze+, giving me 32gb of memory. and then shove a 32gb card into it later on. This will cost 2 payments of about 100 bucks.

4) keep my portable audio in mp3 format and just deal with the portable quality loss, considering the nexus one starts dropping out around 50hz anyways. That way I can save up for either a different phone or get a proper portable player in the future and a dumbphone instead of smartphone.

What will I really lose if I convert from my flac to mp3, considering I'm listening on a nexus one via monster turbines?