Dear, dear, what have I started?
I have to say that I beieve ipods aren't necessarily the problem. Those of us who wear them need to be particularly aware of our surroundings, but that is true of any runner.
I have been running for 3 1/2 years, always with (loud) music. I never run into the paths of bikes or rollerbladers, and I am aware enough to avoid the masses of tourists who are struggling across the beach path with all their barbecue supplies. I'm very lucky that is an athlete-friendly area. We have wonderful parks and beach paths where there are always a lot of runners, bicyclists, rollerbladers, lifeguards and park rangers as well as a lot of people just hanging out. I only tried running in an isolated area once, and immediately realized it was a bad idea. I would never run on city streets.
I'm very sorry for this woman who lost both her legs. What a horrible thing. But I don't think this means we should dump our ipods anymore than the attack on the Central Park jogger meant that women should give up running outside.