Owner of a 4th-gen iPod nano? You might wanna download the 1.0.3 update for your new iPod. The 53MB patch adds Apple in-Ear Headphones with Remote and Mic support along with fixes for some Cover Flow issues. Specifically the iPod doesn’t distort Cover Flow when using TV out slideshow and allows you to turn it off when rotating the iPod into a landscape position. So yeah, stop ignoring Software Update and download the patch.
UPDATE: I finished my drink and decided to put up the right pic.