Ok, Atomic Smart Ass, here's one post on iPoding by "wltr" that spells it all out:
"Ok first things first. go over <a href="http://www.iweenie.com/ipod.shtml
</a> for the firmware update. It is a 3~4M file that uncompresses into a 32M file. Take that file and replace the "Firmware" file found in the iPod 1.1 Updater (Contents/Resources/Firmware). Then simply run the app and presto-whamo you are the pround owner of an iPod w/ the 1.2 firmware THAT IS TOTALLY USELESS . The thing is that, just like everyone said , the scroll wheel does not work.
Ok so with that said. I have been playing around and found that in the diagnostic mode (still works in 1.2!!) the test for the hex value of the scroll wheel shows changes when i move the wheel. So my quack theory is that the new scroll wheel just changes a value in a different register, maybe as a way to not have the new one need to operate or emulate the old wheel.
Also i tested the playcount feature and it works flawlessly (in one test ). Yeah Smart Playlists.
The audible.com files will still not copy over, which leads me to believe that something is a little off in the way that the hacked iPod is talking to iTunes?"
Then again, if you want to risk your iPod or waste your time installing useless shit, be my guest. Just don't criticize people without expecting them to bite back.