A CD is useful if you are going to play music in an older stereo or car. Most will have a CD player. Some newer CD players will play CD's with MP3 compressed audio, extending the play time by as much as 90%. A flash drive is useful if you want to hold more music (most flash drives hold much more than 1 Gigabyte (1024MB) of info, CD's top out at 800MB. Flash drives can also hold any type of compressed audio or higher-than-CD quality audio (higher than 16 bit, 44.1kHz).
Flash drives also have no moving parts, and are not as susceptible to extreme temperatures, scratching or moisture.
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