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I really don't think you can. .caf gives you a big increase in quality to size. Is there a reason you choose .caf over mp3?

You're only allowed to use .caf, .aif, or .wav files.

Your right. Sorry about that.

No worries. There's no clear cut reason for that limitation, it's just there.

On the Stanford iPhone class they have some sample code for using AVAudioPlayer (it's in 2.2) and they are loading an mp3 from within the project.

This is an intersting area to me, so post any reasons you shy away from it. Cheers!