I also confirmed that iTunes v7.0.0.70 does attach the information for calculating accurate stream length to MP3 files.
Creating two WAVE files with 441000 samples (10 seconds) and 441001 samples (10 seconds + 1 sample), I encoded them to two MP3 files by using iTunes v7.0.0.70. I checked the MP3 files and noticed some differences in ID3v2.2 tags generated by the encoder.
[441000.mp3]
TT2: segment1
COM(eng): iTunPGAP=0
TEN: iTunes v7.0.0.70
COM(eng): iTunNORM= 0000121E 00000C71 00006417 00002D9A 000024A1 0000234E 0000827F 000085FB 0000023E 00000D43
COM(eng): iTunSMPB= 00000000 00000210 000007C8 000000000006BAA8 00000000 00026783 00000000 00000000 00000000 00000000 00000000 00000000
[441001.mp3]
TT2: segment1
COM(eng): iTunPGAP=0
TEN: iTunes v7.0.0.70
COM(eng): iTunNORM= 0000121E 00000C71 00006416 00002D9A 000024A1 0000234E 0000827F 000085FA 0000023E 00000D43
COM(eng): iTunSMPB= 00000000 00000210 000007C7 000000000006BAA9 00000000 00026783 00000000 00000000 00000000 00000000 00000000 00000000
Note that there're some differences in iTunNORM and iTunSMPB comment frames. The different values may represent the number of padded samples by the encoder.
As these MP3 files have 385 frames, the number of decoded samples will be 1152 * 385 = 443520 [samples] (without any handling for gapless playback). Assuming that the second and third values in iTunSMPB present the numbers of encoder delay and encoder padding in samples, I obtain the original sample length: 443520 - 528 (0x210) - 1992 (0x7C8) = 441000 [samples] = 10 [sec]. The forth value in iTunSMPB frame probably represents the original sample length since 0x6BAA8 equals to 441000 [samples]. I'm not sure how other values in these frames are used, but I hope this will be a good starting point to understand the mechanism of the gapless playback proposed by Apple.
QUOTE(greynol @ Sep 15 2006, 01:39)

I've been following this thread since it started. It seems that too many posts are primarily focused on gapless playback using iTunes7. The subject of this thread is not about iTunes7, it is about gapless plaback on iPods.
I agree with you, but we need to make sure whether if the necessary information for accurate stream length exists in the MP3 files encoded by iTunes. iRiver once claimed that they implemented gapless playback, but it was just the infamous gap (or silence) removal. Now that the necessary information is confirmed to be attached to MP3 files, we can celebrate the true gapless-playback only if someone with the new iPod experiments it on the hardware player.