Can I upgrade to the latest version of iTunes and iPod???

Over the past couple of months I have been reading horror stories of people who went from iTunes 6.- to 7 and after upgrading and proceeding to get the latest version of firmware for iPod their iPod has become a paperweight. Scrambled displays, backward text, etc. I am on a Mac system and have a 30 gig 5th generation iPod and have put off upgrading because I am afraid of losing my iPod. Can somebody tell me if it is safe to upgrade and if all the bugs have been ironed out? Secondly, can somebody tell me if it is possible to get the latest iPod firmware as a downloadable stand-alone installer? I still have a dial-up connection and cannot wait hours and tie up my line upgrading my iPod through iTunes. I would prefer to download the upgrades on a machine with a high-speed connection and burn them to CD and then install on my machine from that CD. Can anyone tell me if this is possible? Thanks so much for any input.
Mac Mini - Power PC   Mac OS X (10.4.6)  

Anybody????
Mac Mini   Mac OS X (10.4.3)  

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