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I don't think the iPod supported AAC at its initial release. Virtually no software supported it at that time -- that didn't really come until 2003, when iTunes 3.0 added support for AAC (including encoding). The Music Store was introduced in the same release, so there would have been a required software update for iPods at the same time, to add support for Fairplay encrypted files.


Correct, not supported at the point of release, but its specs did strongly suggest it was factored into the hardware design.




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