It all depends on your usage, of course.
I have had two iPods til now, and the reason I bought the second after the first died after 11 months was all the accessory junk i had aquired. If you dont do too much customization the iPod is fine. It automatically renames and organizes your mp3 files if youre not looking - some hate it others find it simplifying - and you have to use it with Apples dedicated software, iTunes.
I have now the 60 Gig video
, and though this one too nearly died on me (you hear the HD scratch like a chalk on a board) it is still working. But i suspect i need a new one before the end of this year. They are not sturdy. The video is cool but small, low volume, and lasts only 2 hours. I imagine a bigger screen would just suck more battery, so that part is a trade-off. You need an extra battery pack for watching more than one film anyway. Also you need to buy film conversion software from, say, DVD to iPod format, separately. But it has a nice wake up/sleep function i use all the time, as well as calendar, contacts and whatnot which i dont use.
I have friends who have the iAudio X5
, and they are almost as fanatical about the unit as the iPod people were just a year or two ago. Apart from the playlist - which you can organize on your computer but not on the unit - it gets rave reviews, with awesome battery life. I dont understand what you mean by not able to sort by artist - i think that just depends on what folder system youre using.
Aslo, you plug it in without drivers to any PC, and it will function as a drag and drop HD/MP3 unit - as opposed to the iPod, which need iTunes and a dedicated PC for the unit.