Apparently that 1.0.1 iPod update
the other week didn't do much to fix the iPod classic and nano's Coverflow performance, with a new update fixing low framerates and jerky animations once and for all. Overall faster menu performance is also part of the package, with TV Out functionality getting the fix it should have had in the first place, with a third "ask" option for selecting TV out mode when a cable is plugged in. These cases of release now, fix later are really becoming a bore.
[Thanks, Billy. Via MacRumors