some of the newer printers have the part to allow you to print right to the DVD, some companies like Epson and HP have printers that allow you to do that! You can buy dvd's with labels already adfixed to dvds. The printers will print to them with no problem. The printer i'll recommand is the Epson R320 as i've bought it just recently and it does good quality prints on dvd.
litescribe is been around for a bit.. used to be mainly HP's pcs have them, now you can get litescribe burners by itself from Lite-on, sony etc. It can only burn one color tho.
all you need is an inkjet surface cd/dvd (one with white textured top to it) and then a printer like the canon pixma 4300 (example) and use the little adapter for your CDs to go on then hit the print button...
thanks! i am gonna get one of those that will print on cds - maybe the epson, although there are some reviews that complain that it does not do reds that well.