I had to name my iPod, cause it is a loyal friend, even better than a pet. So I named her bPod. The last week of June bPod started acting stupid, she wouldn't respond to my touch. I assumed that the hold switch was getting stuck in the hold position. I tried everything I could and even called Apple but bPod remained lifeless. So I laid her to rest in a box and sent her to Apple.
I have been checking the repair status on the web daily awaiting her return. But alas, as of last week, an Apple tech looked at her and found her to be un-repairable and ordered me a replacement. But no replacement has come What could be taking so long?
I had that same problem with my old iPod. The hard drive went bad and I had to send it to Apple. It took almost a month for them to send the iPod back to me. It took so long because the iPod (an old 5GB with moving parts) was being end of lifed. They had announced the 3G iPods the day before I got mine back.
I sold mine on eBay and bought a 3G iPod. I've had no problems since (knock on wood).
Good luck getting your replacement.