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Factory refurbished products are products that have been returned for some defect, and fixed by the manufacturer. Because they have been reworked, they cannot be sold as new, but are in most cases as good as the new product.
By buying a refurbished iPod, you can easily realize savings of up to 75 percent over a factory new product!
The Apple store carries refurbished models, and many factory refurbished outlets can be found on the web.
One such store is the RefurbDepot.com which has a variety of deals on refurbished iPods.
Amazon.com also carries refurbished products, as does Tech Bargains and Small Dog Electronics. Many eBay sellers also offer refurbished products.