Would you like to try developing a SMPS, which has to deal with hundreds of watts of current, using only surface mount components? Go on, give it a try. We will wait.
That is because Ram inside the device is getting so hot that it is nearly going to overheat so the iPod cleverly shuts down the application so it can free up RAM.
Its not because the ram is overheating, the device doesnt generate enough heat for that to even be a factor, its because the ram is getting full.
I haven't heard it, but 'clicking sound on sleep/wake' sounds more like bad design of the audio DtoA & amp, so that glitching sounds during circuitry power on/off switching and software initialization make it through to the speakers.
This is the sort of screwup you'd expect in a $20 MP3 player, not an Apple iWhatever.
its a intentional feature apple put in the device, all iPhone os devices do it, its to let the user know that the device is off or on, people like that sort of confrimation