The later model had 2 GB and had playlist functionality. I had both the 1GB 'continuous playlist' model, loved it it was perfect for mix-tapes, it also loaded albums with the songs in order, so yes there was a lot of skipping to get past an album, but not a problem. The 2GB model if you held down the "f-key" on the top read out the names of playlists ,ie albums, and let you press skip to cycle through them.