Which is another reason that buying LiIon cells from surplus places isn't really a good idea in the long term, these packs that they get are often a year or more old and the cells will have a less than full life.
While there is a limit to the time and cycle number, their life also is significantly impacted by the kind of charger. Every liion charger is supposed to be smart. The charging process is actually 2 staged, you do it voltage based up to a certain voltage and then stick the voltage there and watch the current flow, once it drops to a certain point the cell is changed. Chargers that charge more aggressively or top off beyond the top or dont shut off all the way are going to destroy the batts a lot faster.
I think that it's also better to store them not quite fully charged. Which is a reason that phone batteries tend to last a lot longer than say laptop batteries. You charge them and then take them out of the charger and they start to run down and so probably spend the bulk of their time with a little power flowing out.
As far as the iPod is concerned, this is like urban legend now /ubbthreads/images/graemlins/wink.gif I've replaced one for a friend, and in another 6 months or so I may decide mine needs replacing. I would hazard a guess that anybody reading here would have no problem replacing the battery. After all, you only need to do it every 18-24 months /ubbthreads/images/graemlins/wink.gif