I have a Ipod Nano 3rd generation 4GB (sliver colour)..it works ..but the battery has problems and needs a replacement.
the thing is i didnt use the Ipod for 2-3 months continuously and the battery developed some fault,and now though the Ipod works ..the battery behaves weirdly .it charges completely and drains out anytime..sometimes 1/2/4 hr or at times 10hrs+.
there are times when it shows 0 battery and the moment it's connected for charging it shows full charge.
So in short the battery needs a replacement and would cost 800-900 bucks.
let me know incase you are interested in the Ipod .