When I plug in my iPod I get this message. Why?

Hello!
I've just wiped my hard drive and reinstalled my operating system from scratch. I now have Mountain Lion.
This is the message I receive when I now plug in my iPod Touch. 
http://i47.tinypic.com/35cmqyu.jpg
I've not yet clicked on the 'Erase and Sync' button.
I contemplate that I'm going to have to copy all my own CD's again <shrug>    (unless anyone can explain otherwise!)
Just wondering why my computer no longer recognises my iPod.
Does anyone know?

Hi BDAqua 
Thanks for responding.
I've had a great time exploring matters, including finding this item: https://developer.apple.com/library/mac/#documentation/CoreFoundation/Reference/ CFUUIDRef/Reference/reference.html
I did look at the Express Lane - but didn't wish to pay for the service. Thanks anyway.
Then I remembered that I was "in the cloud" now - including iPod back-up. So I took a chance and clicked on the 'Erase and Sync' button. Hardly life threatening if everything went wrong!
Long story short - I now have all my music re-installed on my iPod from the cloud!
Phew!
Thanks again for helping. Much appreciated.

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