Note the phrasing: "don't think" and not "know" or something similar.
Sounds like such an Ipod killer is in the pipeline, but nowhere near complete enough to show at CES.

What is the software like on the Rio Riot and S series? I presume neither has the processing power yet to approach the empeg-level of software sophistication?

To get an Ipod-killer, you would need:
1. Small size (S Series)
2. Large capacity (Rio Riot)
3. Better interface (Empeg)
And possibly other new features, all in one package. The main hindrence is the storage medium. Something as good as or better than Ipod's hard drives needs to be found.

-Biscuits