You have probably heard already of Apple's new iTunes service that was unveiled earlier this week. Considered by some a huge step forward in online music services, one that finally can be recommended according to this detailed article at the Wall Street Journal (http://ptech.wsj.com/archive/solution-20030430.html). A good write up detailing features and experiences with the service during this first week of operation, you should notice iTunes is currently only available for Macintosh users though full Windows support (http://news.com.com/2100-1041-998961.html?tag=nl) should be available before the end of the year.

Wired (http://www.wired.com/news/business/0,1367,58665,00.html) has also a story regarding iTunes but from a much different perspective, according to their sources Apple's move won't affect popular file sharing clients having a big percentage of their users downloading porn and other content and not just music.

I read the Wall Street Journal one, and it sounds pretty positive. I didn't read the Wired one yet but I can imagine how it will sound :).
I was talkign with StormBringer in the IRC channel just a few minutes ago about this, and here is what we came up with:
Drop the full CD price some, and make the individual track about half the price it is now.
Ensure that the distributor has fast servers.
Give variable bitrates, although this doesn't seem as important it will help people that have different speed connections, and dare I say older people who can't tell a difference in 128kbps and 224kbps. :)