We have one that does both and have seen them for about £150 - £160, so you have the choice of both pods and ground coffee. They are so easy to use though with the pods and my husband, who needs his daily coffee fix to function, says the pods are great, no mess and taste really good. There are good websites that do a good variety of pods, one that I have used is www.coffee-beans-direct.com. Very helpful re your coffee selection too and no delivery charge.