Thanks JWBose, that's really good to know because I was also curious about bluetooth since the draw towards wireless is always good.
What I'm looking to achieve is mp3 quality from my Droid. When I took the mp3 from my Droid and burned it to a CD it doesn't make it CD quality. When it uncompresses to burn it to the CD it can still only be as good as its compressed state.
The same thing happens with my ipod. I can plug in from the bottom of my ipod to the Head unit and get much better quality than if I plug it into the Headphone jack. I'm looking to achieve the same with my Droid. So yes, it is all worth the effort, even in a car environment no matter if its mp3 or FLAC
By the way I don't use FLAC generally because mp3 is so much better supported and you can get "close" to FLAC quality with mp3 (either using constant 320 kb or a V0/V2 compression)
Its too bad we can't have support that we could hook up the usb directly to the HU and stream Pandora through it.