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I'd be surprised if sound hicups were due to exceeding the hardware performance. The Pentium M's are a pretty solid performer.
Instead of loading the GPS, load a bunch of other items, including a heavy skin. See what the ram/processor usage is, and then compare that with just the GPS and music (without RR even running).
If on the heavy load it's fine, yet on the lite load (just gps and music), it skips, then you will know it's based on software, not hardware.
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