Ipod is made by Apple, geared for Itunes, but they are still MP3's . I personally will never have one because I object to the way Apple tries to control things. Also, don't know if it's still true, but it was very hard to just transfer the MP3's. An MP3 player just plays MP3's. Probably more but I don't know much more about Ipods.
Most modern MP3 players don't just play MP3s. They play all sorts of formats.
You can get a decent Sony MP3 player for 20 quid. Dunno how much an iPod is now.