the IPod does work in linux, you just need to work with it. As far as the RIO Karma, if I remember it can be accessed through the Network interface, so it may be a little easier to setup.
however, since you mentioned ogg support, you might want ot go karma route, because you might end up just wishing you had that supporot and not have it with the ipod and I wouldnt hold my breath that they will update the firmware to support it.
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