In reply to:

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its basically universal in operating systems to group folders and files seperately

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Really? Not in any locale I've ever used! Directories and files sort alphabetically in C and UK locales on the platforms I have ready access to (Linux, HP-UX, Solaris, AIX). I guess that if you really want to sort by type, there is a "type" tag provided that you could use after sorting on title.

I'd hate to see Mike break the current (working, intuitive) behaviour of sorting on the requested column - I have quite a few artist playlists that are sorted chronologically, but containing a mix of albums and loose tunes (the latter mainly from compilations or bonus tracks). It would be counterintuitive to add an implicit "sort-by-type" (and hard to undo if there were no way to disable it).