This is the problem with Apple, most iPod's tend not to have a longlife. They do tend to break just after warranty ran out. I had a shuffle for 1 year, it was fine. Then I got my Video as soon as they came out, have the occasional problem with it over heating and not wanting to turn off. But i've had it 2 or more years now. My mum has the very first iPod ever brought out, yes old I know, and it still works. So old school.
Apple's customer service isn't the best. We have about 8 apple computer's in my house, and one of them had countless problems, the customer service people were rubbish, didn't know what they were talking about. One of the screens on my laptop's just snapped straight off
Have you tried a hard reset? I cant remember how to on the iPod video but it's solved all my problems. It is a good little trick.