1-year warranty = $29.99 processing fee?!

What's up with Apple charging me $30 to replace my non-functioning iPod less than a year after purchase?
Immediately after updating to iTunes 7.0, my iPod was no longer recognized (in iTunes or on my desktop). It still recharged while plugged in, but didn't mount, making it impossible to run a restore on it.
After a couple of weeks of watching the boards and waiting for a fix from Apple, i took it down to my local Apple Store. The Apple Genius guy was friendly enough, but basically told me exactly what i already knew was wrong.
Because it was still under warranty, they gave me a new one, but charged me $30. huh? Why should i have to pay ANYTHING to replace something i bought because of a crappy update that has caused so many problems for so many people?
I'm guessing i'm S.O.L. but anyone have a similar experience with some advice?

Jeff you bring up an interesting point, When we the consumer buy a product, it is our responsibility to check out the warranty, and terms before we buy the product, when we give them our money we are in fact agreeing to their policy and terms whatever they are as long as they are not against the laws of the state that they are being legally sold in. Apple on their site clearly states their policies for all to see before they make a purchase. It is the same with software, those screens that come up and say do you agree, how many people take the time to read them. We should because it is the policy of whomever we are dealing with. Again it is our job to check them out before we agree to them. That way when if a problem does arise we will know in advance their policy. Now if the company does not live up to their policy then there are ways to address that problem. But it has been my experience that most large companies, and Apple is certainly in that realm, will live up to their policies. And if you read their warranty and statements they pretty much cover all the issues. We might not like the policy, we might even say that they have the attitude of being the only show in town and can do what they want, but the fact is when we bought their product we were agreeing to their terms. So basically quit the crying and live with it. If you believe they are wrong, talk to them and try to work it out. But you agreed to it.

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