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free does not always translate into poor!!!! You can make millions of dollars using an idea that costs your customers nothing to use, ask the guys at Google! Their service is free for its users and they are not exactly eating porage!
I had an idea today for what I think would be a pretty fricken cool app. A 9 band EQ overlay that would have a transparent background so you can still see the album art behind it, accessible while listening to the iPod. You would be able to slide your finger up and down on each of the 9 bands to make custom adjustments to your EQ, then the ability to save that as a custom setting. I would love this as well as the ability to access the stock EQ settings right from that album art page, instead of going into settings to find it.