he means a case. It's just that the steel ones tend to survive a little better when you drop it multiple times.
He's got the right idea. A good investment for an iPod is a case. Be sure to get one w/ a screen protector.
Another good investment is a decent set of headphones. Look in the $30-$60 range. Try, Bose (noise cancelling, headphones) or Sony or Apple's Isolating earphones (ear buds). They both isolate/noise cancel outside noise. Bose's headphones will probably be $30, Sony's $40-$50, Apple's $60.
While you're out there spending money, if you have a car, try getting something like Griffin's iTrip or iFreq. It makes it so you can play your iPod in a car stero.
If you really want to spend money, try getting portable speakers. They're nice, but you don't use them often and lets everyone critique your iPod music (good or bad thing).
I listed these in order from important (the case) to not so important (the speakers). The case and the headphones, in my opinion are the 2 must buy's, and will run you only $90 behind.
