Damn Rainbow Pinwheel!

I bought one of the new 160 Gb classic iPods after I got back from Ireland. I like the iPod itself as it's a 2 revision upgrade over my old 60 Gb iPod. The additional disk space and the ability to play movies were the compelling reasons for the upgrade. However, the iTunes integration with it is complete shit. I have 9400 songs on the iPod and everything I try to do is mind numbingly slow. Trying to create a playlist can take half an hour, god forbid you have to edit track information. I have no idea what the issue is. I've updated iTunes and installed the iPod update. That damn processing/thinking pinwheel is driving me batty.