I believe there is another thread here about this. But I just did this repair last night. When looking at those four solder points, the two to the right are for the hold switch, while the other two go off to the headphone jack, I believe. Take a razor blade or X-acto knife and slice between the two groups of two. That way, you only need to deal with the hold cable solder points. Desoldering them is very similar to the battery replacement: small solder points, cable material that can easily melt, etc. The iPod should work fine with the cable being torn. An open connection is unlocked. If the ripped end is shorting together on the case or other metal, that would cause issues.