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I've only used the Sony 505 so I can't really comment on the Gen3. One thing I will say is that the 505 feels really solid, it has that 'well-engineered' quality you'd expect from expensive Sony products. I feel this is important in a portable device that will, in most cases, receive a lot of use.
One of the things that put me off buying a Gen3 (other than the higher price) is the plastic body, I'm not sure how well this will stand up to years of wear and tear.
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