I am in the same boat as you guys and i am trying to figure out a better solution. I have the 30GB iPod (pretty cool little device, I highly recommend it), but I am having trouble finding a proper way to hook it up to the stereo in the XTerra. I have purchased the Belkin Tunecast FM transmitter, but it has some problems:
- it only has 4 radio channels, and all 4 of those are usually taken by more powerful radio station, which causes static and interference
- the batteries run out very quickly, and with less power the radio signal becomes weak and static is the result
- somehow the engine sound is picked up over the stereo; I think I hear the firing of the cylinders very vaguely over the speakers.

All in all, this solution does not work for me. Sound quality of the iPod is near perfect, but when played over the car stereo it is horrible and annoying. So I want something better.

My thought is that it should be possible to make a 3,5 mm input jack straight fromt he head unit. The dealer told me the standard unit has an input in the back. Should it not be possible to hook up a cable that connects to the 3,5 mm input jack on the iPod? However - how would I SELECT to play the iPod on the stereo. What button would change it from radio, to CD, to iPod?

If anyone has more brilliant ideass, or can recommend a shop that did the work for them in the LA area, let me know.

Thanks!