have the same problem and have the same thought that it was the ipod freezing, then start to realise the ipod did not freeze/hang, it is the usb connection that doesn't seem to be very stable.
When ipod stop playing music, i could just quickly pull out the usb cable and reconnect it, and music starts playing again... at least this is faster than trying to take the ipod out and hard-reset/restart it...
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