My mom's car has XM; if you have an iPod, it beats satellite radio. (My car has an iPod dock built into the back and an old 4G with a playlist permanently hooked in. I have the 600 best songs in the world....no need for CD's or radio, just one big, LONG playlist of songs I like. And I can skip over songs I'm not in the mood to hear without ever touching the player itself, just through the dials on the stereo.
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And it's not headphone, so the battery on the iPod is always charged.