The base unit, which is a bit reminiscent of the Bose product, has 40 watts of output power, contains equalization circuitry, and uses 4" speakers. You can skip music, select music, and control the volume remotely. If you have an iPod plugged in, you can view and select playlists, artists and genres from your iPhone or iPod touch.
The apps for your iPhone or iPod touch are available free from the iTunes app store [iTunes link]. The control connections are through Wi-Fi, while the music streams through Bluetooth.
The unit also has an auxiliary input for plugging in another audio source. Hey, anyone still have cassettes?
The MusicNAO is shipping December 1, with an introductory price of U.S. $249.00 until November 30, then it's $299.00. The prices are the same in Canada. I haven't heard the device, so I can't give testimony to the audio quality.
I do think the MusicNAO is a unique twist on portable music integration with Apple products. The system also supports Blackberry cellphones that have a stereo streaming feature.