Squeezebox
[image:702,left,5,5]Greg first pointed out the release of Squeezebox to me.
The company, Slim Devices, originally developed the SLIMP3, a very bare-bones device. This current version looks much more retail. The cost is $299US, which seems a bit high for a single-function device. The server software, SlimServer, works on all platforms (it's written in Perl) and even integrates with iTunes on both Mac and Windows, including Smart Playlist support.
[image:703,left,5,5]Its main advantages seem to be that it is a very simple device, and that it has all required audio outputs, including a digital audio out.
For the money, I would probably choose a Prismiq which also does photos and video. The Prismiq is $349CDN, and is actually available at FutureShop in Canada. At first glance it looks Windows-only, but the associated open-source site has the Linux server available.