I think austonia from DAPreview presented one MAJOR flaw from their previous model. The Toshiba digital audio players encrypt the music that's going onto the player, and it will not let you transfer it off the player onto another computer for example (therefore it wasn't able to use it as a hard drive, or file storage). I think that it still has this feature, and that was one flaw that produced unsatisfactory results for their first player. The encryption also degrades the quality of the music I think.

Another flaw that I can see is.. how are you supposed to hold it? It does not look very comfortable to hold or navigate, I guess all they cared about was how slim it was and nothing else heh.