>I personally lean toward #1. Oh, and anyone with other observations, >suggestions on this please feel free to chime (haha) in.
I think what you have described with your sounds is actually the way the System functions, although it may not be the preferred way. There is software--Sound Source, Detour, Sound Output; see Version Tracker (www.versiontracker.com)--that can selectively direct the sound from multiple inputs to multiple outputs (e.g., external speakers and not the Mac's speakers for alerts, but to external speakers for iPod/iTunes). This would resolve your problem if it is indeed not a bug. --Ira

