[geniusanyway]

Conversely, even if one encodes to WAV there will still be gaps (split second pauses) between tracks, so no live recording will sound seemless as it does on a CD or on a Karma.

This is not true. The skipping in between mp3 or aac tracks has nothing to do with the player and everything to do with the file formats themselves. The beginning of every mp3 or aac file is where the info for that file is stored (this is why when you download some mp3s and play them in itunes or winamp, certain information is automaticly displayed. This is what causes the gap no atter where you play them - ipod, rio or a burned cd. Not so with wav. Wav files will play seamlessly on an ipod, rio, etc.